Uncertainty continues in Türkiye's iron and steel industry

While the Turkish iron and steel sector is experiencing financial difficulties, the uncertainty in VAT withholding has resulted in challenges for the market.

Many market participants have suspended their trading activities and it was reported that some companies are considering ending their activities within the sector if the VAT declaration payments are realized as stated in the draft.

Due to the uncertainty in the market, trading activities have slowed down. One of Türkiye's steel mills, İçdaş A.Ş., announced a price of $640 per tonne last week, up by $10 per tonne, but it is having difficulties in conducting sales at these prices.

Producers in the Istanbul/Gebze region continue to offer an average price of $640 per tonne, but they are experiencing difficulties in sales due to offers from producers in the Izmir region at $625 per tonne. Also, export offers are made at around $630 per tonne.

31 January 2024 Spot rebar prices by region as assessed by SteelRadar;

Istanbul rebar prices at 23,100 TL (-100)

Izmir iron prices 22.700 TL (-100)

Karabuk iron prices 22.600 TL (-50)

Payas iron prices 23.100 (-100)