Quiet trading activity for Turkish rebar exports this week

This week, demand for Turkish rebar in the export markets has been at low levels. Turkish steel producers, who had experienced difficulties in meeting buyers' expectations in some target markets, have nevertheless been forced to increase their rebar offers by $33/mt on the lower end to $453-475/mt FOB due to the rises seen in their import scrap purchasing costs.
 
Last week, Turkish producers were expected to set a new pricing strategy amid the increases seen in Egyptian producers' domestic rebar offers. However, at the beginning of the current week the Egyptian authorities launched an antidumping investigation against rebar imports from China, Ukraine and Turkey. As a result, trading activity between Egyptian buyers and Turkish producers has nearly come to a halt and no new Turkish rebar offer has been heard in Egypt.
 
Additionally, last week it was foreseen Turkish steel mills would revise their rebar offers to the United Arab Emirates (UAE) amid the increases recorded in UAE-based producers' domestic rebar offers for January output and due to the rises seen in Turkish steelmakers' import scrap purchasing prices. As of this week, Turkish steel mills have started to offer rebar to the UAE at $460/mt CFR but no new Turkish rebar sales to the country have been heard at this price level yet.
Following the Christmas holiday in the US last week, demand for Turkish rebar in the US has remained at low levels this week due to the approaching New Year holiday. Market sources report that no new Turkish rebar sale has been concluded to the US in the current week, while the latest Turkish rebar deal was at $465-477/mt CFR. Due to the upward movement of global scrap prices, Turkish steel producers' new offers to the US are not expected to be below this price range.