TSIM’s color coating line and service center, which started operations in 2000, are located in Adapazari, near Istanbul.
Tata Steel said the specificity and limited scale of the production operations in Turkey have been negatively affected financially by rapidly changing market conditions, such as increased competition, price fluctuations, and evolving market demands.
“As these challenges are anticipated to persist in the medium and long term, it has therefore been decided to cease operations in Turkey,” it said.
“With TSIM’s high differentiation of its product and service portfolio in colors, and considering the extreme market developments, sustaining its business model is no longer feasible,” said Gunilla Saltin, member of the board of Tata Steel Nederland, adding that they emphasize the uninterrupted continuity of their sales and after-sales services in Turkey.
The closure of production and operations at Adapazari will take place over the coming weeks.
Slow demand in main export markets, lower imported coated coil offers to Turkey, particularly from Asian suppliers, as well as high input costs pressured Turkish mills’ flat steel pricing throughout 2023.
Platts, part of S&P Global Commodity Insights, last assessed the weekly Turkish domestic HDG price at $890/mt EXW Jan. 19, down $10/mt on week.
Author: Cenk Can
