Long steel producers in Turkey have increased both domestic and export offers over the past week with the support of higher import scrap prices and somewhat livelier demand. In addition, many expect a rise in local energy tariffs from September 1.
Ex-Turkey rebar offers are standing at $570-580/mt FOB for September-October shipment, rising by $15/mt over the past week. According to some sources, $570/mt FOB offers are quite rare and many mills have settled their minimum level at $580/mt FOB. A 5,000 mt rebar lot has been traded to Yemen at $580/mt FOB on actual weight basis for September shipment, SteelOrbis has heard. Israeli buyers are expected to return to the market by next week.
In the Turkish domestic rebar market, most mills are offering rebar at $590/mt ex-works, versus $555-570/mt a week ago. One Izmir-based mill has increased its official rebar price by $10/mt to $590/mt ex-works, while one Marmara-based mill is carrying out maintenance works, mostly likely until the end of the month, which usually results in the lack of availability of certain sizes in the area. This month's Turkish Central Bank interest rate decision is due on Thursday, August 24. As a result, some buyers are purchasing in line with their daily needs and are monitoring the import scrap price trend in order to observe if the rising trend will last long or not. Around 11,000 mt of rebar were traded in the Izmir and Marmara regions at $585-588/mt ex-works yesterday.
In the wire rod segment, ex-Turkey wire rod offers vary at $580-590/mt FOB for September-October shipment, rising by $10/mt over the past week. In the local Turkish wire rod market, the general price range varies at $570-605/mt ex-works depending on the region and including Kardemir’s latest 6-27 mm SAE 1008 grade wire rod price, versus the general price range at $560-600/mt a week earlier. “Kardemir’s wire rod price is aggressive. However, most buyers are also checking and attempting to purchase import wire rod,” a source mentioned.
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