Turkish mills are attempting to balance their higher production costs and reduced production capacity rates amid international sluggish demand. "Turkish longs exports are dead. Rebar sales have not even been heard to our regular export destinations such as Israel and Yemen," one of the suppliers said. While having trouble being competitive, Turkish mills have been facing a really slow export trade, and are offering for February shipments at present.
Currently, ex-Turkey rebar offers are standing at $705-710/mt FOB, down $5-10/mt over the past week. Slightly lower levels may be applicable for serious buyers only. "A few enquiries were received from Europe within the frame of the new quota period, also from Africa and Latin America. However, Egyptian, Algerian and UAE producers are applying an aggressive pricing strategy in the export segment," a source told SteelOrbis.
In the Turkish domestic rebar market, most Marmara and Izmir region-based mills are offering official rebar prices at $710-730/mt ex-works, down $10/mt on the lower end. The higher end seems a bit high for the market and the workable rebar price is close to $710/mt ex-works, SteelOrbis has heard. Some sources expect $690/mt ex-works to be on the table soon.
In the wire rod segment, a few mills' offers are available at $710-720/mt FOB, stable week on week for February shipment, while slightly lower levels are available for serious buyers only.