Given the declining trends in hot rolled coil (HRC) and scrap prices, Turkish pipe producers have had no choice but to reduce offer prices. Despite the considerable price reduction, buyers anticipate further price reductions based on market reports. Consequently, both local and export trade has slowed further compared to previous weeks.
“Flat steel and scrap prices are down and appear to be falling further, which buyers are also expecting, resulting in even lower demand. Since there was a quick increase followed by a sudden decline, price imbalances have emerged, with some selling low and others selling high,” a pipe maker commented to SteelOrbis
Over the past week, domestic hollow section prices have fallen to $650-670/mt ex-works, from $680-710/mt ex-works last week.
Likewise, as a gloomy mood has persisted in the export market, with the majority of Turkish pipe producers quoting offers in the range of $640-660/mt FOB, down from $690-700/mt FOB last week.