Given the recent softening in hot rolled coil (HRC) pricing in Turkey, the hollow section segment has continued to be impacted. As a result, Turkish pipe makers have continued to reduce their offer prices over the past week. Market players report that, despite the further price decline, demand is still slow and limited both locally and for exports and is expected to remain slow given continuing financial difficulties and the impending holidays.
Turkey’s local workable hollow section prices are currently at about $630-650/mt ex-works, down from $640-660/mt ex-works in the previous weeks, while according to sources, offers from larger pipe makers are at around $600-620/mt ex-works.
“Unfortunately, purchases are slow and limited in both domestic and international markets. In addition to the overall unfavorable conditions, this is due to the faster shipment of big manufacturers with very low costs, which regrettably changes the demand balance,” a pipe producer told SteelOrbis.
Likewise, the achievable export prices have decreased by $10-20/mt week on week to $620-640/mt FOB.