With the previous downward movement of import scrap prices in Turkey being replaced by an upward trend this week and given the acceleration of restocking activities seen in the local Turkish rebar market, Turkish steel mills have grabbed the opportunity to increase both their domestic and export rebar offers. During the past week, demand for Turkish rebar received from the international markets has revived, with Turkish rebar export offers moving up by $15/mt on the lower end and by $5/mt on the upper end week on week to $555-565/mt FOB on actual weight basis.
It is observed that Turkey’s rebar export sales have accelerated in the current week, with Turkish mills concluding rebar sales to various destinations. Following the Turkish rebar sale made to Canada last week for a total of 90,000 mt at $550/mt FOB, a 10,000 mt rebar sale to Malaysia at $560/mt FOB was heard in the market at beginning of the current week. Additionally, deals for small tonnages of Turkish rebar to Israel and Yemen have been concluded at $555/mt FOB on actual weight basis, while Turkish rebar sales to Europe have been concluded at $560-565/mt FOB on actual weight basis.
SteelOrbis has also been informed that, despite the ongoing Section 232 probe, US buyers have concluded purchases of Turkish rebar at $625-635/mt CFR on theoretical weight basis this week as there is still demand for Turkish rebar in the US due to the high levels of US domestic rebar quotations.
Turkish rebar export offers are not expected to soften in the short term given the changed trend of import scrap quotation in Turkey, the acceleration seen in Turkish rebar export sales, and the revival of demand received from the local Turkish rebar market after a long period of sluggishness.