The hollow section market in Turkey has shown a downward trend as end-user demand in both local and export markets has failed to improve, resulting in price decreases during the past two weeks. In addition, the general outlook remains pessimistic, with many anticipating further price reductions because of the gloomy mood in the hot rolled coil (HRC) market and the approach of Ramadan.
“The demand side is contracting severely, and this is the biggest issue in the market. Furthermore, expenditures are quite high and profitability has fallen regardless of whether you achieve sales,” a pipe producer told SteelOrbis
Over past weeks, domestic workable hollow section prices have fallen to around $600-630/mt ex-works, from $620-640/mt ex-works.
On the export side, some weakening has occurred as trading has been sluggish. Most official hollow section offers have been recorded at $600-620/mt FOB, which is down from $610-630/mt FOB in the previous week. However, according to sources, larger Turkish pipe makers are giving substantially lower prices for hollow sections at about $560-570/mt FOB.
