In February, Turkish rebar offers to the export markets started to move upwards and, although they took a break from their upward movement for a week in the middle of March, they have since continued their increasing trend. Turkish rebar export offers have now risen for the fifth consecutive week.
Turkish steel producers are currently bearing higher production costs due to the ongoing increases seen in global billet and scrap quotations. After the rises recorded in Turkish rebar export offers last week, demand for Turkish rebar in the export markets declined slightly at the beginning of the current week. However, buyers in Turkish producers' target markets accepted the new price levels in subsequent days and so demand for Turkish rebar in the export markets is once again at medium levels. During the past week, Turkish rebar export offers have increased by $15/mt to $485-495/mt FOB.
Turkish steel producers' rebar sales to the UAE, one of Turkey's most important rebar export markets have continued in the current week. SteelOrbis has been informed that a Turkish steel mill has concluded a sale to the UAE for 15,000 mt rebar at $485/mt CFR, on theoretical weight basis. UAE-based rebar traders have also increased their prices further for their local market this week, while market players are expecting a sharp rise in Emirates Steel Industries' (ESI) rebar quotations in the coming days. Buyers in the UAE market, who are facing a rising trend in domestic rebar prices, are expected to continue their rebar purchases from Turkey. Meanwhile, Turkish rebar offers to the UAE are currently in the range of $490-495/mt CFR, on theoretical weight basis.
This week it has been heard that two Turkish steel producers concluded rebar deals to the US last week, for 15,000 mt and 3,000 mt of rebar at $475/mt CFR and $480/mt CFR, respectively, both on theoretical weight basis. Currently, Turkish rebar offers to the US are in the range of $495-500/mt CFR, on theoretical weight basis.
Additionally, a Turkish steel mill has reportedly concluded a sale to Kuwait for 10,000 mt of rebar at $495/mt CFR, on theoretical weight basis.
