Turkish export rebar prices fell sharply to their lowest level in over three years Thursday, as mill workable prices fell amid extremely weak demand due to the coronavirus outbreak.
S&P Global Platts assessed Turkish exported rebar at $390/mt FOB Turkey Thursday, down $9.50/mt on day. This was the lowest level reached since early February 2017, when prices hit a low of $387.50/mt FOB.
“Maybe it will be $350/mt FOB soon because there is no buyer and most of the orders are to be postponed and there are some cancellations too,” a Turkish trader told Platts.
Another trading source cited tradable value for a large quantity like 10,000 mt at $390/mt FOB Turkey or below.
The second trading source said: “$390/mt FOB or below for large quantities is possible today because there is no buyer in the market.”
A third trading source cited a tradable value for similar quantities at $390-$395/mt FOB. A fourth trading source cited a tradable value with a firm bid at $390/mt FOB.
An Iskenderun mill source cited offers at around $390/mt FOB, while a Marmara mill source cited an offer at $395-$400/mt FOB. An Izmir mill offer was heard at $435/mt CFR US, including a countervailing duty. This was normalized to around $390/mt FOB Izmir, in line with Platts methodology.
The US Department of Commerce announced the results of its review into anti-dumping duties for Turkish-origin rebar last week. These were set at zero for Turkey’s Icdas, Kaptan, Colakoglu and Habas, as reported. Rebar imports from these producers were previously subject to final dumping margins of 5.39%-9.06%. Habas also saw its countervailing duty slashed to 3.37% in a separate review.
The reduction and removal of these duties has lent some optimism to a struggling Turkish export rebar market, with the hope that the notable rise seen in Turkish mills’ rebar export volumes to the US in recent months could continue in the coming months, once the coronavirus outbreak has eased.
Elsewhere, an eastern Chinese trader cited a rejected bid at $413-$415/mt CFR Singapore theoretical weight, equivalent to $390/mt FOB Turkey actual weight, highlighting some divergence among Turkish mills regarding workable levels Thursday.
S&P Global Platts assessed Turkish imports of premium heavy melting scrap 1/2 (80:20) at $220/mt CFR Thursday, down $3.50/mt on day.
The Turkish longs melting margin — the spread between Turkish export rebar and import scrap – was assessed at $170/mt Thursday, down $6/mt on day.
— Viral Shah