Given the softening of hot rolled coil (HRC) and scrap prices, Turkish flat steel spot traders have had no alternative but to keep reducing their prices, offering aggressive price levels to attract additional sales, though at the same time there has been no sign of a recovery in demand and trade.
“Due to HRC producers' lower prices and the approaching year-end, spot traders are offering extremely cheap prices to increase sales, which has caused prices to drop once again in the spot market. Despite the price reductions and some aggressive prices in the market, demand is still low,” a trader told SteelOrbis
According to reports, workable domestic hot rolled sheet (HRS) prices have decreased week on week by $15/mt to $600-610/mt ex-warehouse. Bigger traders are offering at around $610/mt ex-warehouse, while smaller and medium-sized traders are offering at about $600/mt ex-warehouse.
Currently, Turkey’s official HRC prices in the domestic market are at $570-580/mt ex-works, while $10/mt discounts are available.
Likewise, in the cold rolled sheet (CRS) market, the majority of traders have decided to drop their offers from last week by $5-10/mt to $720-745/mt ex-warehouse. However, as previously noted, some traders have begun to offer larger discounts in both sheet segments in order to attract more attention from buyers.
According to reports, with discounts added, HRS offers can be as low as $590/mt ex-warehouse and CRS offers can be as low as $710/mt ex-warehouse.