UK longs importers adapting to quota system, demand sufficient

Thursday, 05 November 2020 16:19:28 (GMT+3)   |   Istanbul
       

UK-based longs buyers have been trying to adjust to the recently introduced quota system which now makes it harder for them to source products from non-EU destinations. “Generally demand is good. Most stockists have kept themselves well covered through the end of the year,” one source mentioned.

Local prices for UK rebar are at GBP 420-425/mt (€465-470/mt) CPT, local wire rod prices are at GBP 435-445/mt (€481-492/mt) CPT, while local merchant bar prices are standing at GBP 465-475/mt (€515-526/mt) CPT, for December and early January deliveries, SteelOrbis has learned.

In the import segment, ex-Spain rebar offers to the UK are currently at €440/mt CIF northern Irish port for December shipment. Sources report that Turkish mills are aiming for $465/mt (€395/mt) FOB, which seems to make it difficult to achieve any rebar sales to the UK for now. The average freight charge is around GBP 20/mt (€22/mt) from Turkey to UK ports without any additional charges, and the estimated time of arrival is approximately 15-20 days, SteelOrbis understands. As a result, the offers may be considered workable, but unfortunately Turkey is limited to only 16,297 mt of exports to the UK in the first quarter of 2021.

GBP 1 = €1.106

US$1 = €0849


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