Domestic square billet prices in Turkey have softened over the past week, taking into account the negative mood in the import scrap segment and weaker longs sales both locally and abroad. As a result, the number of takers in the import billet segment has been scarce this week.
In the middle of the week, a total of 22,000 mt of billet were traded in the Iskenderun region at $425/mt ex-works, while last week offers were mainly at $430-435/mt ex-works. In the Karabuk region, an EAF-based producer is still offering $430/mt ex-works, but buyers are not foreseen to pay that level. Moreover, customers in the region are expecting Kardemir to announce new billet price levels.
Since local billet prices have decreased, Turkish buyers have become cautious regarding import purchases. This week, import offers have been within the range of $415-425/mt CFR depending on the region and the seller. However, Turkey is now not expected to pay far above $410/mt CFR.