How long will scrap prices support Turkish rebar export offers?

SteelOrbis has learned from market sources that Turkish rebar export offers have remained unchanged since last week at $565-575/mt FOB on theoretical weight basis. Rebar demand in Turkish suppliers' main export markets is reported to have remained lower than anticipated and Turkish suppliers could only conclude rebar sales to the UAE, Iraq and North Africa. In a 30,000 mt rebar transaction to the UAE, the rebar price was at $565-570/mt CFR ($555-560/mt FOB) on theoretical weight basis, while the rebar price in a low volume transaction to North Africa was at $575/mt FOB on theoretical weight basis. The most lively export market for Turkish rebar suppliers in the past week has been Iraq and rebar sales totaling about 50,000 mt from the Iskenderun region have been concluded at $585/mt ex-works to this destination.
 
The ongoing strength of scrap prices is providing support for Turkish rebar mills in their firm stance on their prices. Although demand is not strong either in the Middle East or North Africa, Turkish mills are expected to keep their rebar export offers at $565-570/mt FOB next week, as higher prices are unlikely to be accepted by foreign buyers. However, some market players think that scrap prices may lose strength in the days to come, as scrap demand for April from Turkish mills has slowed down and also due to expectations of a higher scrap flow in spring, and this reduces the possibility of significant price hikes in rebar export offers.