Turkish rebar and wire rod prices, locally and for exports, have increased over the past week, attributed more to stronger scrap prices than to better demand. Export business still remains challenging, although for now Turkish mills do not seem to be under tremendous pressure, following previous significant sales volumes to Europe. In the domestic market, the workable prices have inched up slightly, reflecting satisfactory trading activity though for the moment it seems insufficient to feel confident about a rebound in prices.
Currently, ex-Turkey rebar offers vary at $550-560/mt FOB for late May-June shipment, up by $10/mt over the past week. According to sources, small tonnages of rebar have been traded to the Balkan region at $550-555/mt FOB lately. The general sentiment on demand seems quite weak currently, with some positive developments possible closer to the end of the month. "Most Turkish mills are not eager to sell material due to their ongoing shipments," a source commented, referring to the strong rebar sales to the EU closed in the second half of April.
In the Turkish domestic rebar market, official offers have settled at $550-565/mt ex-works, up $5-10/mt week on week. In the Izmir and Marmara regions, the workable levels are at $545-560/mt ex-works, also up by $5-10/mt over the past week. In addition, two Iskenderun-based mills have offered their rebar prices at around $565-570/mt ex-works, for an extended delivery period. According to sources, the latest workable rebar price in this region stands at around $560/mt ex-works. A sale of a small tonnage was rumored at slightly below $540/mt ex-works in the Izmir region early this week, but this price level does not seem valid under the current market conditions. According to sources, integrated producer Kardemir has succeeded in selling around 27,500 mt of rebar at $556/mt ex-works in its sales opened today, May 14. In the previous round of sales, the mill was reported to have traded 34,000 mt of rebar at $544/mt ex-works.
In the wire rod segment, most Turkish mills have also raised their offers, by $10/mt to $560-570/mt FOB, for late May and June shipments. In addition, the workable Turkish domestic wire rod prices vary at $555-570/mt ex-works, up by $5-10/mt from last week. In addition, Kardemir set its 6-27 mm wire rod price for SAE 1008-1010 grade at $575/mt ex-works on May 14.