Turkish pipe exports up 11% in September despite Iraq decline, raw materials issues
Turkish pipe exports registered a 10.8% increase year-on-year in September to 183,160 tonnes, despite continuing problems with shipments to Turkey's traditional main market Iraq, Kallanish learns from Turkey’s Steel Pipe Manufacturers Association (CEBID). The value of these exports was up 1.2% to $146 million.
Notwithstanding the 13% decline in exports to Iraq, the country was still the second-largest buyer of Turkish pipe in September with 36,464t. The US remained the largest export market, taking in 36,657t. The UK was third with 24,128t. Israel, meanwhile, dropped out of the top ten export destinations.
In the first nine months of the year pipe exports rose 2.7% to 1.4mt, but dropped 3.5% in value to $1.2 billion. Iraq, despite taking in 20% less pipe y-on-y at 254,873t, was Turkey’s main market in the period thanks to strong sales before the insurgency there began in June. The US and UK followed with 221,988t and 200,307t respectively.
“By the end of September there were close to 1.5mt of exports [so far this year]; however, we are facing raw materials supply problems which affect our production and consequently disrupt exports,” says CEBID secretary general Mehmet Zeren. “The timely and cost-effective supply of raw materials is of great importance for our industry to maintain its success in production and export.”
Zeren stresses that the inability of a major local hot rolled coil producer to supply product to pipemakers on time, coupled with Turkey’s 9% HRC import duty, are disrupting Turkish pipe deliveries. “Iron ore prices have become more advantageous against scrap, which could result in production decreases at EAF-based mills, and we therefore expect further raw material supply problems,” he observes.
Truly global, user-friendly coverage of the steel and related markets and industry that delivers the essential information quickly while delivering on most occasions just the right amount of between-the-lines comment and interpretation for a near real time news service of this kind.
Anonymous
Very good overview of the weekly steel market.
Anonymous