TURKEY FLAT STEEL WRAP: Prices start increasing in late January, but demand fails to improve

Demand for flat steel in Turkey failed to improve in January even as prices started to increase towards the end of the month, although with stocks at low levels, buying may pick up in February, market participants told Fastmarkets on Tuesday February 5.

Local producers have filled their order books until April, they added. The price increases towards the end of January resulted from increasing raw material prices after the rupture in a tailings dam at Vale’s Feijão mine in the city of Brumadinho, in the state of Minas Gerais in Brazil. The accident will result in a 40-million-tonne-per-year production impact, and this led to price increases for all steelmaking raw materials. Fastmarkets’ daily index for Northern Europe-origin HMS 1&2 (80:20), for example, was calculated at $319.34 per tonne cfr on February 5, rising from $279.16 per tonne cfr on January 2. As a result, flat steel prices in Turkey started January with falls, but most prices increased in the second half of January after the accident at Vale's mine. Meanwhile, Turkish flat steel market participants are awaiting the outcome of the final decision on European Commission’s safeguard duties. European sources do not expect big impact on most...

Published

Serife Durmus

February 06, 2019

03:35 GMT

Bursa