With most CIS producers implementing production cutbacks due to the summer holidays and the decline in demand, CIS billet producers do not appear to be in a hurry to give out offer prices. While CIS producers' billet export offers were standing at $485-495/mt FOB early this week, they have since risen in line with the price increases in finished steel product prices, especially in the Turkish market.
Ex-CIS billet offers to Turkey were standing generally at the level of $505-510/mt CFR early this week, with offers observed to have increased as of the middle of the week. After bookings seen in the Turkish market at $490-495/mt CFR this week, mills' offers are continuing to increase in line with the upward trend in traders' offers.
Turkish billet producers have increased their billet offers to the level of $520-525/mt FOB, after concluding sales to the Middle East and North Africa. These price levels do not seem to have attracted as much demand as last week's prices.
In the coming week, billet prices are expected to become gain clarity as the raw material markets take on shape.