Starting the current week with an effort to maintain price levels, the Turkish long steel market has witnessed a slight price softening, as the anticipated demand failed to materialize in either the domestic or foreign markets.
The softening observed in ex-CIS steel billet offers was first felt in Turkish suppliers' merchant bar export offers, with the prices of angles first softening to $710-720/mt FOB and then declining further to $705-715/mt FOB. Although this export price drop has not been reflected in domestic market prices for merchant bars, it is thought that some softening may also be seen in the local market in the coming days.
Steel billet export offers from the CIS via traders have declined to $620/mt CFR Istanbul, while CIS producers' steel billet export offers have not fallen below $615/mt FOB. However, as it follows the Turkish market closely, the CIS market may also witness some downward price movements after the softening seen in the Turkish long steel market. In the meantime, there has not been any update in domestic billet prices in Turkey so far, though they are also expected to move downwards in the coming period.
As of this morning, April 18, ex-CIS rebar offers were standing at about $650-660/mt FOB, depending on the producer and region, while wire rod export offers were at $680/mt FOB. CIS rebar offers are also expected to be revised downwards, as CIS producers will be forced to move down their prices to compete with Turkish mills' rebar export offers at $660-670/mt FOB.