Turkish longs mills are attempting to keep their export prices firm and even pull offers up, while the number of inquiries is limited and most international buyers are exerting pressure for further discounts. In addition, local rebar sales are not sufficient in order to compensate weak exports due to the unclear financial situation in the country and limited access to loans, for which interest rates are high. Import scrap prices have stabilized for now and so many market players assume there is no justification for changes in rebar prices. As a result, most Turkish rebar producers are in wait-and-see mode ahead of the IREPAS conference which will be held in Berlin on April 28-30.
Currently, ex-Turkey rebar prices vary at $590-600/mf FOB for May shipment, rising by $5/mt on the higher end, and even slightly higher levels are on the table from just a few mills. However, most buyers’ firm bids seem to be at prices $10-15/mt lower. In particular, the sale of a 10,000-15,000 mt rebar lot has been concluded to Jamaica at $580-585/mt FOB, SteelOrbis has learned.
In the local Turkish rebar market, although the official rebar prices in the Marmara and Izmir regions are available at $600-620/mt ex-works, the workable level is at $590-610/mt ex-works. The main reasons are the ongoing currency fluctuations and the sluggish demand from the construction sector. Most local buyers are postponing their new purchases until after the Turkish central bank's interest rate decision due on April 25.
In the wire rod segment, export prices have remained unchanged at $600-610/mt FOB for May shipments, with again only a few mills offering at slightly higher levels. Turkish official domestic wire rod prices are standing at $610-645/mt ex-works, though, when the current wire rod export price is taken into account, the lower end seems much workable.
.jpeg)