SteelOrbis has learned from market sources that pig iron demand in the Turkish domestic market is quite low, while local buyers expect lower import offers for pig iron and scrap. Turkish buyers expect lower prices for raw materials against a background of weak finished steel demand in the domestic market.
Meanwhile, Ukrainian pig iron offers to Turkey are at $405-410/mt CFR, but buyers' price ideas are standing at the level of $400/mt CFR and below. On the other hand, Russia is offering pig iron to Turkey at $420-425/mt CFR, though these offers are considered to be on the high side for the Turkish market.
After recording declines of $1-2/mt in the last two weeks, iron ore prices in China are currently following a sideways trend, and prices will not likely move up amid weak steel demand in the domestic market. Meanwhile, a price decline is expected for scrap prices in Turkey, and the latest scrap deal from the US at the level of $395/mt CFR confirms this anticipation. Under these circumstances, next week pig iron deals will likely be concluded around at $400/mt CFR in the Turkish domestic market.