Having returned to the export markets following the end-of-Ramadan holiday, Turkish welded pipe exporters have been faced with slack demand as buyers are this week concluding deals only to meet their immediate needs. According to market sources, Turkish mills are unwilling to revise their prices sharply and prefer to adopt a wait-and-see stance due to the election due to be held on June 24.
Lately, Turkish exporters have concluded several hot rolled coil (HRC) deals in the US, while European buyers have also accelerated their Turkish HRC bookings in order to avoid any possible quotas when the European Commission (EC) announces the preliminary result of its safeguard investigation into imported steel. Accordingly, ex-Turkey HRC quotations have moved upwards and Turkish welded pipe export prices have followed suit. As a result, 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 increased by $10/mt on the lower end and by $20/mt on the upper end week on week to $645-690/mt FOB. However, market sources think that the upward movement of Turkish welded pipe prices has not ended. Although demand for ex-Turkey welded pipe is still slack contrary to the recovery of demand for Turkish HRC in the export markets, Turkish welded pipe exporters may increase their prices further when the market situation becomes clearer after the election.