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Turkish long steel market maintains prices as demand remains weak

During the July 31–August 6 period, the Turkish long steel market continued to be characterized by firm production costs but weak demand.

Turkish long steel market maintains prices as demand remains weak

The Turkish long steel market maintained its pricing during the July 31–August 6 period, supported by stable production costs, while weak domestic and export demand continued to limit trading activity. Stable scrap prices prevented producers from lowering their offers, whereas high financing costs, subdued construction activity, and the seasonal slowdown kept buyers focused on need-based purchasing. Regional price disparities were evident in the rebar market, while billet, wire rod, and structural steel markets remained largely stable.

Rebar

The most notable development during the week was the continuation of regional price differences in the domestic market. Prices in the Istanbul and Karabük regions moved higher, supported by stable scrap costs and limited spot availability, while more competitive sales kept prices lower in İzmir and Payas.

By the end of the week, Ø12–32 mm rebar prices reached TRY 33,700/ton (USD 590.5/ton) in Istanbul and Karabük, while prices in İzmir and Payas remained at TRY 32,600/ton (USD 571.3/ton). Overall domestic transaction levels were reported at USD 575–580/ton EXW (excluding VAT).

Several major producers prioritized export shipments, reducing spot availability in the domestic market, particularly for certain sizes. This supported producers' pricing despite the absence of a significant recovery in end-user demand. Contractors continued to postpone purchases due to high financing costs and avoided building inventories, keeping overall trading volumes subdued.

On the export side, prices remained largely unchanged throughout the week. Turkish mills' offers were mainly reported at USD 580–585/ton FOB Türkiye, while workable prices were estimated at USD 575–580/ton FOB Türkiye. Weak demand from Europe, North Africa, and the Middle East limited new bookings despite producers maintaining firm offers. Many mills have already shifted to offering September shipments, reflecting the slow pace of new orders.

Billet

The Turkish billet market remained quiet throughout the week. Supported by stable scrap costs, producers maintained their offer levels, while both domestic and export trading activity stayed limited.

Domestic billet offers were reported at USD 525–550/ton EXW, while export offers remained at USD 525–535/ton FOB Türkiye. Imported billet offers from the Black Sea region and Asia were heard at USD 490–495/ton CFR Türkiye.

Despite the price advantage of imported material, buyers continued to purchase only to meet immediate requirements rather than rebuild inventories. Low capacity utilization among rebar producers and weak downstream demand remained the primary factors limiting billet trading activity.

Wire Rod

The Turkish wire rod market remained broadly stable during the week, although price differences between quality grades persisted.

Standard-grade wire rod was offered at USD 580–600/ton EXW, while drawing-quality material was offered at USD 630/ton EXW and special-quality grades reached USD 730/ton EXW. Delivered Istanbul prices were reported at approximately USD 645/ton for drawing-quality products and USD 745/ton for special-quality grades.

On the export side, offers were mainly reported at USD 580–590/ton FOB Türkiye, with some producers testing the market at USD 595/ton FOB Türkiye. However, no regular trading activity was reported at these levels due to weak buyer interest.

Domestic demand from wire drawing companies, fastener manufacturers, and the automotive supply industry remained sluggish. Producers chose to maintain current price levels rather than reduce offers despite weak demand, citing ongoing cost pressures.

Profile

The Turkish profile market remained largely unchanged throughout the week. Offers for hollow sections, equal angles, and UPN/IPN profiles stayed stable.

Weak industrial demand and low order volumes continued to weigh on the market. However, elevated energy costs and firm scrap prices prevented producers from reducing prices.

Export demand from the Balkans and the Middle East remained limited, while weak European demand continued to slow the pace of new export orders.

Impact of the Scrap Market

Imported premium HMS 1&2 (80:20) scrap prices remained stable at USD 376/ton CFR Türkiye throughout the week. Although several import transactions were concluded, no significant price movement was observed. The stability in the scrap market continued to support long steel production costs and played a key role in maintaining rebar, billet, and wire rod prices.

Market Outlook

During the July 31–August 6 period, the Turkish long steel market continued to be characterized by firm production costs but weak demand. Stable scrap prices enabled producers to maintain their pricing, while high domestic interest rates and sluggish construction activity continued to suppress consumption. On the export side, prices remained largely unchanged, but weak demand from Europe and neighboring markets kept sales volumes limited.

Looking ahead, the direction of scrap prices, any recovery in export orders, and the outlook for domestic construction activity will remain the key factors shaping the Turkish long steel market. Under current conditions, the market is expected to maintain a stable and cautious trend rather than entering a strong upward cycle.

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