Turkish rebar export prices move down

Following the end of the upward movement of Turkish rebar offers to the export markets last week, ex-Turkey rebar offers have declined by $35/mt on the lower end and by $20/mt on the upper end this week to $475-510/mt FOB due to the ongoing declines seen in the global billet market. Despite the falls in Turkish rebar export quotations, demand in Turkish steel exporters' target markets has remained weak as buyers are still in no rush to conclude new deals.
 
At the beginning of the current week, Turkish rebar offers to the United Arab Emirates (UAE) were at $520-535/mt CFR on theoretical weight basis, while buyers in the UAE have started to put downward pressure on offers this week by postponing their purchases as they are expecting the downward movement to continue in the coming days. Following the falls recorded in Turkish rebar export offers yesterday, May 12, no new offers from Turkey have been heard in the UAE market. However, buyers in the UAE state that the transaction price of $520/mt CFR is not acceptable anymore. As a result, Turkish rebar offers to the UAE are expected to decline in the coming period.
 
Meanwhile, although Turkish rebar offers are much more attractive, Egyptian buyers are still focusing on purchasing locally produced rebar since foreign exchange availability is still a problem in Egypt. Turkish steel producers' rebar offers to the country are currently at $485/mt CFR on actual weight basis.
 
On the other hand, buyers in the US are still postponing their rebar purchases from Turkey as they believe prices will fall further in the coming period. At the beginning of the current week, Turkish rebar offers to the US were heard in the range of $525-535/mt CFR on theoretical weight basis, while they are expected to decline in the coming days due to the falls recorded in ex-Turkey rebar quotation yesterday.