Over the past week, the depreciation of the Turkish lira against the US dollar has continued to influence the local Turkish billet market. Despite the downward pressure which has emerged in the local Turkish billet market due to the weakness of demand, Turkish mills have maintained their domestic billet prices stable week on week at $440-445/mt ex-works. Although higher offers have been heard in the market, these offers have failed to gain acceptance from buyers. Also, for large volumes, Turkish mills are offering slightly lower prices in the range of $435-440/mt ex-works. Meanwhile, buyers are unwilling to conclude new deals amid the economic crisis in Turkey, the increased political tensions, rapid changes in the exchange rate and also due to the Ramadan, and so demand in the local Turkish billet market is at low levels.
Following the $7.5/mt fall recorded in CIS-based billet suppliers’ offers to Turkey, ex-CIS billet prices are now at $425-435/mt CFR. Additionally, SteelOrbis has been informed that traders are offering lower offer prices for large volumes and spot shipments.
Lastly, Turkey’s billet export offers have decreased by $5/mt week on week and are mostly in the range of $430-435/mt FOB.