Since the sharp depreciation of the Turkish lira against the US dollar and the excessive fluctuations of the currency rate have increased the perception of risk in Turkey over the past week, buyers and sellers in the Turkish welded pipe market have avoided taking any significant moves and have preferred to adopt a more cautious stance.
Since the start of the current week, prices in the local Turkish hot rolled coil (HRC) market have once again moved downwards, decreasing to $580/mt ex-works. Also, given the downward movement of HRC prices in the global market, Turkish welded pipe producers have been revising their quotations for the export markets. During the past week, Turkish producers’ offer range for ERW pipes and hollow sections with 2-4 mm wall thickness made from hot rolled coil (HRC) of S235 grade as per EN 10219 to their export markets has decreased by $20/mt to $630-670/mt FOB.
According to market sources, Turkish welded pipe exporters continue to conclude deals to Europe and the Middle East. Amid the current market conditions with the high level of risk perception and with trade investigations remaining in the headlines, the main reason behind these deals is the fact that Turkish mills’ quotations are still more attractive than their competitors’ offers.