Turkish mills are attempting to increase their longs export prices driven by costs since scrap prices have risen further. In the meantime, international demand overall has not shown any signs of improvement. In addition, the Israeli and Yemeni markets are still not promising due to the ongoing war. North African suppliers have also increased their offers and have managed to sell some lots, making it hard for Turkey to compete.
Currently, ex-Turkey rebar prices are at $580-590/mt FOB for December shipments, up by $5/mt over the past week. Moreover, a few mills are offering slightly higher levels, up to $600/mt FOB, SteelOrbis has heard. The market has been full of talk about a rebar sale to Yemen at $585/mt FOB, but it was denied by the supposed seller. Moreover, the price level is considered to be too high to be workable. European buyers are taking their time before concluding new purchases and are not willing to restock material ahead of the holiday season in December. Some negotiations have been underway in Africa and may soon result in small deals.
In the Turkish domestic market, most mills in the Izmir and Marmara regions are offering rebar at $580-600/mt ex-works, rising by $5/mt on the higher end. Most local buyers are monitoring the import scrap price trend ahead of the Turkish Central Bank's interest rate decision due tomorrow, November 23. Sources report that a few mills are applying special discounts in order to take advantage of the depreciation of the Turkish lira against the US dollar. An Iskenderun-based mill has issued its rebar price at TRY 20,500/mt ($593/mt) ex-works today. Under the current conditions, $600/mt ex-works seems somewhat difficult to achieve.
In the wire rod segment, most mills are offering at $590-600/mt FOB for December shipment, stable over the past week. Only a few mills are offering slightly higher levels. In the local Turkish market, wire rod prices vary at $590-625/mt ex-works, following Icdas' recent price hike. Wire rod prices were at $585-615/mt ex-works last week. Moreover, Kardemir has issued its 6-27 mm SAE 1008-1010 grade wire rod price at $605/mt ex-works today. However, the higher end in the market, $625/mt ex-works, seems difficult to achieve for now.
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