Rebar exports from Turkey continue to face challenges amid limited international demand and pressure from buyers. Most Turkish mills are offering at $445-455/mt FOB due to solid scrap prices, though admitting that $440/mt FOB is widely possible. Meanwhile, negotiations have been resumed with buyers from Asia and the US.
This week, some sizeable rebar lots were rumoured to have been sold from Turkey to Asia. However, according to the information collected by SteelOrbis, the sides are only negotiating for now with no deals closed just yet. “There are orders for around three cargoes altogether from Hong Kong and Singapore, but we are $10/mt apart,” a major seller said. In particular, bids from Singapore are at $450-455/mt CFR on theoretical weight basis versus offers at $465/mt CFR. Hong Kong would reportedly pay $470/mt CFR at the highest, while Turkey is targeting a minimum of $480/mt CFR, SteelOrbis has learned. As a result, Asian buyers are aiming to pay nothing above $430-435/mt FOB, while Turkey insists on $440-445/mt FOB minimum. Some movement may be seen as China leaves for its holiday. Moreover, Qatar Steel is said to be having maintenance in February, which may make things easier for Turkey.
Some talks have been resumed with the US, with Turkey offering at $620-625/mt CFR on theoretical weight basis, duty paid. However, no deals have been reported yet. “They are not in a purchasing mood yet, so maybe only 6,000-7,000 mt orders are possible,” a seller mentioned. In addition, some inquiries are reported from Latin America, namely Peru, Colombia, Haiti.
In the Middle East, demand remains modest. Some 9,000-10,000 mt were sold to Yemen at $445/mt FOB, SteelOrbis has learned. Some deals were also closed to Israel with no details clarified just yet. Offers to Lebanon are at $445-450/mt FOB Iskenderun with no actual trade reported.