Turkish rebar producers are applying aggressive pricing policies to generate sales as the year is about to end. However, both international and local buyers are taking their time before concluding new purchases. European and Balkan buyers are evaluating the CBAM regulations that have just been clarified and are not seeking to restock material, to be on the safe side. Turkish mills are receiving inquiries from Latin America. In the Turkish domestic market, most buyers have already stocked up material and do not want to purchase excess stocks due to VAT issues, although Turkish mills are giving sizeable discounts due to the ongoing depreciation of the Turkish lira against the US dollar.
Currently, rebar mills’ official offers in Turkey’s domestic market are available at $560-595/mt ex-works, down by $5-10/mt week on week. The workable price levels, according to sources, have varied at $550-555/mt, also down by $8/mt ex-works in the Iskenderun region. A few Marmara-based mills are quoting at $585/mt, versus $590-595/mt ex-works a week ago, while the offers of some Izmir region-based suppliers have fallen to $555/mt ex-works, indicating a $10/mt decrease over the same period.
New Turkish rebar export offers are standing at $560-570/mt FOB for January shipments, also down by $10/mt depending on the tonnage and the country. A few mills are testing slightly above $570/mt FOB, but it seems difficult to achieve under the current market conditions. "A fresh rebar inquiry for around 10,000 mt is on the table from Chile, while the target price for this deal is close to $550-555/mt FOB, which is a challenge under the current market conditions," one source commented.
In the wire rod segment, export prices are standing at $570-580/mt FOB for January shipments, down by $10/mt over the past week. Locally, wire rod prices in Turkey have remained stable at $570-590/mt ex-works this week, while additional discounts are applicable for serious buyers. A few Turkish mills have already closed their wire rod sales due to the unclear financial situation in the local market in the last of couple of days.
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