The mood in Turkey’s welded pipe market has been cautiously optimistic this week, following some strengthening of import scrap prices and local and import offers for hot rolled feedstock. However, according to sources, the demand improvement in the pipe sector has been somewhat restricted by concerns regarding the development of the situation in China. In particular, there have been some firm offers of ex-China hot rolled coils in Turkey, which, if they decline further, may put pressure on local pricing as well.
Over the past week,Turkey’s local welded pipe prices have inched up by $5/mt on the upper end to $530-545/mt ex-works for end of March-April production. On the other hand, according to sources, there are still some volumes available for March deliveries, while in the market there are some fears that local prices will come under pressure because exports are limited.
As regards exports, the offer levels have remained at $530-540/mt FOB. As the quota for the EU is now full and reopens in early July or maybe in April (as the “other countries” quota) Turkish pipe producers are currently more active in searching for some alternative sales outlets, SteelOrbis understands.
** Prices are given for ERW pipes and hollow sections with 2-4 mm wall thickness made from HRC of S235 grade as per EN 10219, on theoretical weight basis.