Despite market conditions pointing to a possible price bottom for Turkish rebar imports to the US, it appears that low scrap prices are continuing to push offers downward. This week, sales offers in the US are down $0.50 cwt. ($10/nt or $11/mt) into the range of $20.50-$22.50 cwt. ($410-$450/nt or $452-$496/mt) DDP loaded truck in US Gulf ports, although sources tell SteelOrbis that bookings are trending closer to the bottom end of the range.
According to some traders, the price range for Turkish rebar is still vulnerable to downticks despite reported eagerness from Turkish mills to firm offers. And the range for future arrivals is already facing competition from current arrivals, sources say, even though position tags reflect previous higher prices. With over 100,000 mt in import permits for Turkish rebar in May alone (compared to about half that amount in April census data), traders are reportedly scrambling to clear out inventory and the resulting “bloodbath” in prices will have a detrimental effect on future orders.