11,182.96 TRY BIST 100 BIST 100
41.30 USD USD USD
5.84 CNY CNY CNY
48.91 EUR EUR EUR
0.12 CNY CNY/EUR CNY/EUR
39.71 TRY Interest Interest
67.71 USD Fossil Oil Fossil Oil
55.70 USD Silver Silver
4.65 USD Copper Copper
105.81 USD Iron Ore Iron Ore
340.00 USD Shipbreaking Scrap Shipbreaking Scrap
4,886.84 TRY Gold (gr) Gold (gr)

Red Sea crisis: A new opportunity for Turkish steel in Europe

Disruptions in the Red Sea have allowed Turkish steel producers to seize new opportunities in the European Union market.

Red Sea crisis: A new opportunity for Turkish steel in Europe

According to Yalçın Ertan, Chairman of the Board of Directors of the Aegean Iron and Non-Ferrous Metal Exporters Association (EİB), delays in the Suez Canal have made it difficult for Asian producers to ship steel to the EU, boosting Turkish producers' competitiveness.

In the first half of 2024, Türkiye's total steel exports increased by 31% to 8.8 million mt. This increase is attributed primarily to rising demand for flat steel, especially, and high shipments to the EU.

However, Ertan stressed that economic conditions in the domestic market continue to suppress the profitability of the Turkish steel sector. High input costs, inflation and low exchange rate policy are creating major challenges for producers. According to Turkish industrial sources, the electricity tariff increases that came into effect on July 1st added a USD 10/mt increase to steel production costs.

"Although we are starting to regain market share in the EU region, economic conditions in the domestic market continue to suppress our margins and profitability," said Ertan, pointing to high input costs, inflation and low exchange rate policy.

Ertan stated that Turkish producers need to increase their investments to comply with the EU's Green Deal. He also stressed that the planned adjustments in the inward processing regime should not weaken producers' competitiveness.

Comments

No comment yet.

Only +plus subscribers can access this content.

SUBSCRIBE now to share your thoughts on the markets and get more comments.
SUBSCRIBE If you already have an account Sign In

Most read news

Zimbabwe signed 455 million dollar agreement with Jindal Steel

Wednesday, September 17, 2025

While CBAM presents a significant risk to India's steel exports, the effect of U.S. tariffs is expected to be limited

Wednesday, September 17, 2025

Scrap market decline continues as bottom levels remain in focus

Wednesday, September 17, 2025

Steel demand rises in Yemen and Syria as reconstruction fuels regional trade

Wednesday, September 17, 2025

Subsea7 signed agreement with Aramco for new pipeline project worth up to USD 1.25 billion

Wednesday, September 17, 2025
Follow List
Expand
Your watch list is empty

Add your favorite commodities for quick access and don't miss the latest price change news.


There are no news categories you follow
Edit Notification Preferences
E-bulletin subscription
Sign up to receive the latest news and daily iron prices by e-mail and sms
Become a Plus Subscriber Now!
Try it free for 3 days!
Subscribe Now
Neutral Prices
Be informed
Provincial Iron Prices
Comments and Analysis
Subscribe Now