Turkish merchant bar producers kept their export prices unchanged last week due to the low levels of demand.
Turkish re-rollers’ current offer prices stand mostly at $470-480/tonne for angles, $475-485/t for IPN-UPN sections, $480-490/t for flat bars and $475-485/t for IPE sections. These are all on a fob Turkey basis.
On the other hand, $445-450/t fob is also available from one Turkish producer that has a more favourable production cost.
A Turkish merchant bar re-roller tells Kallanish: “The market is stuck. Demand is low and customers are pushing for lower prices but, on the other hand, billet prices are high.”
Some small-tonnage angle deals were heard sold to Africa and Europe at $455-465/t fob last week.
Most Turkish re-rollers expect Kardemir to start billet sales with prices at over $405/t ex-works in the coming week.
Imported billet prices are at not lower than $400/t cfr Turkey, making it difficult for merchant bar producers to lower their prices. However, a limited number of buyers are holding out for prices at much lower levels.
Most merchant bar re-rollers are focusing on finished product sales before deciding on their billet purchases at current levels.