Ex-Turkey rebar prices down sharply again, but buyers insist on more discounts

Thursday, 12 May 2022 17:34:44 (GMT+3)   |   Istanbul
       

Turkey-based longs exporters remain under pressure and have been forced to decrease their offers for the second time this week. The foreign buyers continue refraining from the purchases, trying to evaluate the market and possible discounts. In particular, the import billet prices are confusing for them since the gap with the rebar is not realistic. In addition, the import scrap prices in Turkey have fallen tremendously, adding to the confusion in the market and triggering a deeper downward sentiment.

Currently, most producers are quoting rebar at $800-830/mt FOB for June shipments, $30-40/mt down from the levels seen earlier this week. A majority of the buyers are keeping silent and only one small lot has been reported as having been sold to Romania at $820/mt FOB for June shipments this week. Generally, buyers’ price idea is not higher than $750-770/mt FOB for ex-Turkey rebar, but the mills do not seem to be ready for such levels. “They [buyers] see the import billet levels in Turkey and think rebar has to be $700-750/mt even, but the thing is that the cheap ex-Russia billet is mainly consumed by merchant bar producers, not as much by the rebar mills,” a trader said. The latest import billet prices in Turkey have been standing at $650-660/mt CFR for small lots for prompt shipments.

In the Turkish domestic market, most mills in the Izmir and Marmara regions are offering official rebar prices at $800-870/mt ex-works, while the workable level is certainly at the lower end of the range. The most recent sales were closed at $790-800/mt ex-works for at least 40,000 mt, including Kardemir’s tonnages traded today, May 12, and some deals in the Izmir area.

In the wire rod segment, ex-Turkey export offers are at $930/mt FOB, versus $940-950/mt FOB for June shipments earlier this week. According to sources, one mill is quoting prices at as low as $850-860/mt FOB for June shipments.


Similar articles

Local Chinese longs prices still fall sharply, is bottom close?

18 Mar | Longs and Billet

Iskenderun-based Turkish mill cuts its rebar price

15 Mar | Longs and Billet

Southern European longs market faces weak demand, falling prices

15 Mar | Longs and Billet

Romanian longs steel prices still stable as demand remains solid

14 Mar | Longs and Billet

Stocks of main finished steel products in China up 4.0 percent in early March

14 Mar | Steel News

Ex-Turkey rebar prices stable but still under pressure

13 Mar | Longs and Billet

Iskenderun-based Turkish mill revises its rebar price

12 Mar | Longs and Billet

Local Chinese longs prices lose up to $20/mt over the week amid weak demand

11 Mar | Longs and Billet

March sees a slow start for the longs market in southern Europe

08 Mar | Longs and Billet

Romanian rebar prices stable, wire rod prices rise

07 Mar | Longs and Billet