Turkish rebar producers are attempting to keep their export prices firm, while international buyers have been exerting pressure for further discounts amid the relatively negative sentiment in the import scrap and billet segments. Although most European mills are struggling with higher energy costs, possible rebar and wire rod sales to Europe are hindered by the summer vacation and the EU quota restrictions as the next quota period begins on October 1 and the quota for the period is expected to be exhausted rapidly. On the local demand side in Turkey, most traders are destocking material and are not in a rush to purchase from the mills due to slow trading activity and the lack of financial clarity in Turkey.
Currently, ex-Turkey rebar prices are mainly standing at $670/mt FOB, stable over the past week. Moreover, a few mills are offering rebar at slightly higher levels, while one of the suppliers was said to be ready to sell at $660/mt FOB. No fresh rebar sale has been heard for now but buyers mainly believe that mills might provide discounts next week as there is an expectation for softer scrap prices. “Early last week, we received $640/mt FOB as a price idea. I think we will be back to this level soon,” a trader told SteelOrbis.
In the Turkish domestic market, most mills have kept their official rebar prices stable at $660-670/mt ex-works. Certain discounts are applicable for serious buyers only.
In the wire rod export segment, a few Turkish mills are still offering at $700-710/mt, for September shipment, unchanged over the past week. No fresh wire rod sale has been heard for now.