Global economic uncertainty and high prices keep billet markets silent

This week, Turkish mills' steel billet export offers have softened by $5/mt as compared to last week due to the rapid appreciation of the US dollar against the Turkish lira and softened finished steel prices, with steel billet export offers regressing to $690-700/mt FOB on actual weight basis, for September shipments.

Witnessing a good level of demand for steel billet for a while now, in the Syrian and Egyptian markets buyers are currently delaying their purchases due to Ramadan and the unstable economic situation in international markets. Particularly in Syria the situation is worse, with the influence of the strong political turmoil in the country.

On the other hand, in Europe the continuing summer holiday deepens the silence of the market.

In this week's Turkish domestic billet market, prices have remained unchanged at $700-710/mt + VAT ex-works on actual weight basis.

As for ex-CIS steel billet offers, also due to the inactivity of buyers because of uncertain market conditions and the summer holidays, prices have remained at $675-680/mt FOB on actual weight basis, for September shipments.

In July this year Turkey's top 10 steel billet export markets were as follows:

Source: Istanbul Mineral and Metals Exporters' Association (IMMIB)

In July, Turkey's total steel billet exports amounted to 185,876 mt, decreasing by 10.41 percent year on year.