Price increases on the horizon in Turkish wire rod market

Friday, 22 June 2012 11:31:41 (GMT+3)   |  

Spot wire rod prices in the Turkish domestic market are currently standing at TRY 1,161-1,222/mt ($641-675/mt) ex-works, exclusive of 18 percent VAT, compared to TRY 1,161-1,229/mt ($641-679/mt) ex-works last week. However, it is known that producers may offer even lower prices for larger volume orders.

After a long-lasting downward trend, spot wire rod prices in the Turkish domestic market are now expected to gain upward momentum, with support coming from increased transaction activity for scrap, steel billet and rebar, as well as from higher rebar prices. Besides, Turkish steel producer Icdas increased its 7.0-8.5 mm mesh quality wire rod prices by TRY 20/mt ($11/mt) as of yesterday, June 21, to TRY 1,169/mt ($646/mt) + VAT ex-works, and other producers are also expected to follow suit. However, wire rod demand in Turkey has not shown any significant improvement as compared to previous weeks, although buyers are still purchasing material in line with their needs.

On the export side, demand has not shown any recovery since last week and ex-Turkey wire rod offers for July shipments have remained unchanged at $620/mt FOB.

SteelOrbis has learned that current offers for mesh grade 6.5-8 mm wire rod in the local Turkish steel market are as follows:

Region

Price

Marmara

TRY 1,400-1,420/mt ($656-665/mt) ex-works

Izmir

TRY 1,370-1,380/mt ($642-646/mt) ex-works

Iskenderun

TRY 1,410-1,442/mt ($660-675/mt) ex-works

Wire rod prices for Thrace stand at TRY 1,380/mt ($646/mt) ex-works in Biga, Çanakkale.

The above prices are on actual weight basis. The dollar prices exclude VAT, while the TRY prices include VAT. It is heard that lower prices are also available in the market for real buyers.

$1 = TRY 1.81


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Marketplace Offers

Wire Rod
Diameter:  5 - 12 mm
KHALIFA STEEL INDUSTRIES WLL
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Diameter:  5.5 - 16 mm
CONARES METAL SUPPLY
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Diameter:  6.5 - 60 mm
BRILLIANCE MAHK IMPORT & EXPORT (SHANGHAI) CO., LIMITED