Longs steel exporters from Turkey have been bullish lately, mainly being pushed by high production cost levels since energy tariffs are still high and as import scrap prices keep on increasing. As a result, rebar offer prices have gone up over the past week but international demand still fails to provide support. Most buyers are taking their time in order to monitor import scrap prices and the possibility of a longs export price correction if current prices do not generate sales. A few Turkish mills are planning maintenance works in December, while a few of them have already completed maintenance and are working at reduced production capacity rates.
Turkish rebar export offers are standing at $680/mt FOB versus $660-670/mt FOB for late December-early January shipment. A few mills are testing slightly higher levels, $690/mt FOB, however it seems difficult to achieve under the current market conditions. Yemen and Israel are still the regular export destinations, however no fresh rebar deal has heard for now. Most European buyers are already in the holiday mood and are not there for their restocking. The general sentiment is silent on the demand side.
In the Turkish domestic market, most mills in the Izmir and Marmara regions are offering official rebar prices at $690/mt ex-works, while slightly lower levels are available for serious buyers, SteelOrbis has heard. Most local traders have been restocking materials in some panic over the past week. As a result, most local traders do not have much appetite for additional tonnages and are purchasing only in line with their daily needs.
In the wire rod segment, a few mills are still offering $690/mt FOB for January shipment, while additional $10/mt discounts are applicable for serious buyers.