Turkish mills are attempting to compensate their production costs with the longs export prices, while most international buyers are in holiday mood. In addition, the local rebar demand is also not supportive as most buyers refrain from restocking and handling the physical stocking, (at the year end the existing rebar tonnage in the stock is counted and the possible VAT payment is calculated accordingly). The overall sentiment on the demand side is sluggish.
Currently, a few Turkish mills are testing $570-575/mt FOB versus $565-575/mt FOB for late January shipment, following the relatively better sentiment in the import scrap segment. However, above $575/mt FOB is a bit difficult to achieve under the current market conditions. A few inquiries are on the table form Libya, while European buyers are silent following the rebar sales to Romania and Bulgaria earlier this month, as the new quota round will begin by January 1. Two rebar cargoes of total 15,000-20,000 mt rebar were rumored at around $580/mt FOB on actual weight to Yemen in two consecutive weeks. In addition, the total rebar amount from Turkey to Yemen is rumored around 70,000 mt from a few mills since the beginning of this month, however it is not confirmed by the time of publication.
In the Turkish domestic rebar market, the official rebar prices and the workable rebar prices have settled at $565-585/mt ex-works and $565-575/mt ex-works respectively, in the Marmara and Izmir regions, including Icdas A.S. The workable rebar price is at $570-575/mt ex-works in the Marmara and Izmir regions, including Icdas A.S. last week.
In the wire rod segment, most Turkish mills are offering at $580-590/mt FOB for Late January shipment, up by $5/mt week on week. In addition, workable Turkish domestic wire rod prices vary at $570-590/mt, also up $5/mt from last week.
.jpeg)