Prices in the rebar, billet and wire rod segments remained largely stable, while trading volumes stayed low. End-users postponed purchases in anticipation of further price declines, while producers offered more flexible commercial terms to support sales. These factors shaped the overall market sentiment throughout the week.
The absence of any significant movement in the scrap market prevented additional cost pressure on producers. However, weak domestic consumption and slowing export orders continued to limit any upward movement in prices.
Rebar
In the domestic market, rebar prices remained largely stable throughout the week. Producers maintained their official price levels, while discounts for high-volume purchases continued. Ex-works prices ranged between TRY 32,200-32,450/mt, while offers in US dollar terms were assessed at approximately $570-576/mt.
Domestic demand remained need-based due to high interest rates, difficulties in accessing financing and the slowdown in the construction sector. Rolling mills and end-users preferred short-term purchases rather than building large inventories, while producers sought to support sales through cash payment discounts and short-term payment options.
On the export side, intense competition remained the key feature. Alternative suppliers offering aggressive prices in the European, North African and Middle Eastern markets made it increasingly difficult for Turkish producers to secure new orders. As of July 14, Türkiye-origin rebar export prices remained unchanged at $570/mt FOB Türkiye. Tradable levels in the market were reported at $565-570/mt FOB, while some producers were targeting sales above $570/mt FOB. However, weak seasonal demand and the fact that the export market was largely closed for two days due to the July 15 Democracy and National Unity Day holiday limited new sales.
Billet
Weak demand also dominated the billet market throughout the week. Low operating rates among rebar and wire rod producers limited domestic billet purchases. As a result, trading activity remained weak while producers attempted to maintain their price levels.
In the domestic market, offers for 150x150 mm commercial-grade billet were reported at $515-525/mt EXW. Kardemir’s sales of 150x150 mm S235JR billet at $515/mt EXW and B420 grade billet at $520/mt EXW remained an important market reference throughout the week.
Competitive pressure also persisted in the import market. CIS-origin billet offers were assessed at approximately $485-490/mt CFR Türkiye, Russian-origin offers at $470-475/mt FOB and Chinese-origin offers at $460-465/mt FOB. These price levels limited domestic producers' ability to increase prices, while buyers’ expectations of lower prices also restricted new import transactions.
Stable scrap costs prevented any significant change in production costs, while billet prices continued to be driven mainly by long steel demand. Due to weak finished steel sales, rolling mills continued purchasing only enough billet to meet their short-term production requirements.
Wire rod
The wire rod market also remained under pressure from weak demand and intense competition. Producers, particularly for standard-grade material, revised their offers downward in an effort to secure new orders.
In the domestic market, offers for SAE1006 wire rod ranged between $550-570/mt EXW depending on the producer and purchase volume. Producers in the Marmara region reduced prices by approximately $5/mt during the week, while suppliers in the İzmir and İskenderun regions began offering more competitive prices due to slower export activity.
On the export side, Turkish producers’ offers declined from $595-605/mt FOB to $590-600/mt FOB. Seasonal demand weakness in Europe, aggressive pricing by Asian producers in North Africa and low-priced Chinese offers continued to challenge the competitiveness of Turkish suppliers.
Although stable billet costs kept wire rod production costs balanced, weak end-user demand made it difficult for producers to pass any cost increases on to customers. Nevertheless, the special-grade wire rod segment serving the automotive and wire drawing industries maintained a relatively more balanced outlook compared to standard-grade products.
Impact of the scrap market
Throughout the week, the imported scrap market remained one of the key cost indicators for long steel producers. However, no significant price movement was observed. HMS 1/2 (80:20) imported scrap was assessed at $363/mt CFR Türkiye.
Market participants involved in the scrap trade stated that producers remained reluctant to make new scrap purchases due to difficulties in domestic rebar sales and insufficient export orders. This situation continued to prevent any cost-driven upward movement in long steel prices.
Overall assessment
During the week of July 10-16, weak demand remained the dominant factor in the Türkiye long steel market rather than price movements. Prices in the rebar, billet and wire rod segments moved within a narrow range, while low trading activity and cautious buying sentiment continued to shape the market.
On the export side, the temporary slowdown caused by the July 15 public holiday, weaker seasonal demand in Europe and intense international price competition kept new orders limited. In the domestic market, high financing costs and tight liquidity conditions continued to force consumers to purchase only on a need basis.
Looking ahead to next week, the market direction will depend on imported scrap prices, new export orders, exchange rate movements and producers’ pricing policies. Unless demand shows a meaningful recovery, prices in the Türkiye long steel market are expected to remain under pressure and continue moving within a narrow range in the short term.
Comments
No comment yet.