Mesh quality wire rod market prices in the local Turkish market were at $960-980/mt last week; however, early this week the price level of this item had increased to above $990-1,000/mt and has started to push for $1,040-1,050/mt towards the end of the week. On the export side, the price level last week was at $1,000/mt FOB for July shipment, and has increased to $1,050/mt FOB this week. Moreover, some producers are offering to the export markets at above this level.
The price level of mesh quality wire rod in the local Italian market has this week been at €650/mt ($1,014/mt) ex-works for 60-90 day deferred payment, excluding VAT. Meanwhile, the price level of drawing quality wire rod in the local Italian market has been at €680/mt ($1,061/mt) ex-works for 60-90 day deferred payment, excluding VAT, in the same period. It is heard that the Italian producers may increase their prices by around €50/mt ($78/mt) for May.
The producers in the Spanish local market have been offering mesh quality wire rod at €700/mt ($1,092/mt) delivered to warehouse for 30-day deferred payment, excluding VAT following the sales concluded at the price level of €670-680/mt ($1,045-1,061/mt) delivered to warehouse for 30-day deferred payment, excluding VAT.
The Ukrainian producers have announced their price level for April at $960-970/mt FOB. It is expected that they will likely make offers in May at the price level of $1,000/mt FOB due to the rising billet and rebar prices.
Meanwhile, it is heard that the previously-low price levels of Chinese wire rod offers are now registering increases. These offers have been observed in the Middle East in recent times and have been putting pressure on the Turkish and CIS producers' price levels. The latest deals to the Persian Gulf concluded in late March and early April were in the range of $930-940/mt CFR. However, it is heard that the new offers have already passed the $1,000/mt CFR mark. The overall wire rod prices may increase further due to the following reasons: the rising scrap costs in the Mediterranean and Black Sea markets, the strong rebar and billet prices in general, and the upward movement of Chinese origin offers.