Turkish Rebar Costs Increase Due To The Domestic Market

Additionally, this has led scrap suppliers to raise their rates and withdraw from the market. Since the beginning of the week, some rebar producers have stopped selling rebar in both the domestic and export marketplaces. At first, they want to know how much waste will cost. Rebar is being offered at $740–750/tonne fob actual weight in the export markets on Thursday by those who are maintaining sales open. Meanwhile, quotes for mesh-quality wire rod ranged from $750-760/t piece.

Although the export demand is still insufficient, Turkish factories are not currently focusing their attention on exports. Some market participants even contend that exports ought to be formally restricted while earthquake-damaged towns are being rebuilt. In addition to these 11 towns, Turkey has numerous structures that require reconstruction due to their lack of earthquake resistance.

Turkish mills do not believe that these markets will purchase at these prices, despite queries for Turkish rebars coming from the EU, South America, and Africa.

Some mill said: “Many foreign markets have already been lost to us. We recently raised our prices significantly, making the present prices completely intolerable for customers. The most recent transactions were settled at $700–710/t fob real weight.”

Recent bookings for minor tonnages have been made to Yemen, Israel, South America, and Africa.

Rebar is now being sold in Turkey’s internal market for $750-760/t ex-works, up from $710-720/t last week. Even offers at $760–777/t are possible in the south. Despite the moderate demand, end users are seen completing transactions. Rebars are being sold by mills at a rate of 30,000 to 40,000t per day.

On two deep-sea bookings, the scrap market’s price increases persisted on Thursday. A mill in the south purchased a cargo of US provenance that included 11,000t of HMS 1&2 85:15 at $455/t, 14,000t of shredded material at $470/t, and 7,000t of P&S at $473/t cfr. HMS 1&2 80:20 of EU provenance was purchased by a Marmara mill for $440/t cfr.