Considering weak end-user demand and continuous price reductions in the hot rolled coil (HRC) and scrap segments, Turkish pipe producers have had no other option but to bring down prices. Furthermore, Turkey's financial issues and upcoming elections have slowed trading activity, contributing to the depressed mood in the market.
In past weeks, domestic workable hollow section prices have fallen to around $860-900/mt ex-works, from $900-950/mt ex-works previously.
“Demand appeared to improve slightly after the holiday, but it fell by the middle of the week as the negative market sentiment caused customers to wait,” one pipe producer told SteelOrbis
Similar to the domestic market, there has been a decline in the export segment because of poor sentiments. As a result, pipe producers have reduced export prices to $890-940/mt, down $930-950/mt FOB in previous weeks.