EU demand pulls Turkish coated coil exports above 1.5 million mt

High demand from the EU region, especially from Spain and Belgium, notably pulled up Turkish mills’ coated coil exports in the first eleven months of the year.

Turkish mills exported 1.54 million mt of coated coil in widths of 600 mm and above in January-November, up 19% on year, according to the latest Turkish Statistical Institute (TUIK) data observed by S&P Global Platts.

Spain became Turkey’s main buyer in the eleven-month period, importing 316,200 mt, 37% higher on year, while Turkish mills’ coated coil exports to Belgium reached 195,000 mt in that period, significantly higher than the 45,500 mt imported in the same period the previous year.

Israel imported 125,200 mt of coated coil from Turkey in January-November, around double year on year, while exports to Iraq reached 108,500 mt, up 35% on year.

Turkish mills’ other big coated coil export destinations in that period were: Italy (95,600 mt), Greece (92,800 mt), Ukraine (75,900 mt), Romania (65,500 mt), Portugal (60,000 mt) and Egypt (59,900 mt), the latest data showed.

After rising above $1,000/mt ex-works as of the last weeks of 2020, representing a $300/mt rise since mid-October, due to strong demand from EU and higher HRC costs, Turkish mills’ hot-dip galvanized coil offer prices have begun to show some softening in recent days on slowed demand in the domestic and export markets.

The direction of the prices will be determined by demand from Turkey’s traditionally main export market, the EU region, in the coming weeks, sources observed.

— Cenk Can