As quotas reduced demand for Turkish CRC notably in Turkey’s main CRC export market, Europe, Turkish mills’ cold-rolled coil exports declined by around 100,000 mt on year to 197,200 mt in the first seven months of the year. The COVID-19 pandemic was another factor in this sharp decline.
According to the latest Turkish Statistical Institute (TUIK) data observed by S&P Global Platts, the sharpest decline in Turkish CRC exports was seen in shipments to Italy in January-July. Italy imported 22,100 mt of Turkish CRC in that period, significantly lower than 144,000 mt imported in the same period the previous year.
Spain became Turkey’s largest CRC buyer in January-July at 27,800 mt. But, this figure was also lower than 29,300 mt imported in January-July 2019.
Belgium imported 21,000 mt of CRC in the first seven months of 2020, while CRC exports to other EU countries remained notably low, amid quotas, increasing the price pressure on Turkish mills’ quotations.
Turkish mills again reduced their CRC prices as of this week, due to low demand both in the domestic and export markets, despite high HRC costs.Turkish mills tried to diversify their export destinations in a sluggish sentiment in the first seven months of the year.
Egypt became Turkey’s fourth largest CRC customer at 20,200 mt in January-July, more than double on year, while Turkish mills’ CRC exports to Iraq reached 18,900 mt up around 80% on year.
Turkish mills also exported 11,200 mt of CRC to Ukraine and 9,600 mt of CRC to Canada in the first seven months of 2020, the latest data showed.
— Cenk Can