Turkey Steel Import Statistics: Q1 2019

Turkey, worlds largest ferrous scrap importer observed various factors like the imposition of doubling of tariffs by US, depreciation of currency Lira against USD, low finished steel demand and political uncertainty impacting its steel imports in Q1 2019. The country observed lowering of imports of Ferrous Scrap, Coal, Iron ore, Semi-Finish, Electrodes and Ferro Alloy, on the other hand, imports of finished long and flat products increased in Q1 2019 against recorded in Q4 2018, the customs data maintained with SteelMint showed.

Crude steel output fell 15% in Q1’2019 – Turkey crude steel production recorded at 8.19 MnT in Q1 CY19, down as against 9.58 MnT in Q1 CY18.

Ferrous scrap imports drop 20% Q-o-Q in Q1’2019 – Turkey imported 3,888,845 MT ferrous scrap in Q1 2019, down 20% Q-o-Q against 4,842,984 MT in Q4 2018. On yearly premises imports dropped 28% Y-o-Y as against 5,265,458 MT ferrous scrap in Q1 2018.
Sentiments – Ferrous scrap imports fell successively in the first two months of the quarter due to a sharp increase in prices and low finished steel demand, but imports recovered considerably in March on the account of price correction, low inventories and a slight recovery in finished steel demand. Imported scrap prices remained rangebound at around USD 315-325/MT in Feb-Mar’19 after rising from USD 280/MT to USD 330/MT, CFR for US HMS 80:20 in Jan’19.
Countrywise – USA remained the largest supplier occupying a share of 19% in total scrap imports to Turkey in Q1 2019. It supplied 735,496 MT in Q1 2019, witnessing a drop of 20% Q-o-Q from Q4 2018. Followed by other prominent importers, Netherlands (598,839 MT, up 33% Q-o-Q), Russia (440,748 MT, down 27% Q-o-Q), UK (408,652 MT, down 16% Q-o-Q) and Belgium (288,654 MT down 15% Q-o-Q) occupying 15%, 11%, 10% and 7% share.
On a monthly basis, scrap imports to Turkey witnessed a significant rise of 81% to 1,710,328 MT in Mar’19 as against 942,072 MT in Feb’19.

Iron ore imports down 6% Q-o-Q in Q1 2019 – Turkey iron ore imports recorded at 2.81 MnT, down 6% as against 2.99 MnT in Q4 CY18. On a yearly basis, imports picked up 16% as compared to 2.42 MnT in Q1 CY18. Brazil stood the largest exporter of iron ore to Turkey in Q1 CY19 at 1.59 MnT, up 24% as against 1.28 MnT in Q4 CY18. Sweden stood second largest at 0.57 MnT followed by Canada and South Korea at 0.17 MnT each.

Coal imports drop 15% Q-o-Q in Q1 2019 – Turkish coal imports have fallen 15% Q-o-Q to 9.87 MnT during the first quarter of CY19 (Jan’19-Mar’19), which was also 7% lower on the year from 10.61 MnT in Q1 CY18. Sharp depreciation of the Turkish lira versus the US dollar, had a significant impact on the country’s appetite for imported dollar-denominated coal. Besides, a permissible rise in sulfur cap and hike in import tax for US thermal coal, have also dampened Turkey’s coal imports from Colombia and the US. In fact, among the major coal suppliers, only Russia had witnessed a noticeable rise in coal exports to Turkey during the first quarter of CY19.

Semi-finished imports marginally decline in Q1 2019 – Turkey imported 1,004,681 MT of semi-finish (Billet & Pig Iron) in Q1 CY’19, marginally declining by 3% Q-o-Q against 1,039,998 MT in Q4 CY’18. On an yearly premises imports considerably dropped by 28% Y-o-Y as against 1921521 MT ferrous scrap in Q1 CY’18.
Countrywise – Russia remained the largest supplier occupying a share of 82% in total semi-finished imports from Turkey in Q1 CY’19. It supplied 820,969 MT in Q1 CY’19, witnessing a rise of 44% Q-o-Q from Q4 CY’18. Followed by Ukraine supplying 598,839 MT, down 44% Q-o-Q with a share of 13%. Notably, Brazil which supplied 168,212 MT of Semi-finished in Q4 CY‘18, did not have any share in Turkey imports this quarter.
On a monthly basis, semi-finished imports to Turkey witnessed a fall of 6%, importing 310,829 MT in Mar’19 as against 330,806 MT in Feb’19.

Flat steel imports increase 18% Q-o-Q in Q1 2019- Turkey’s flat steel imports ascended by 18% to 1.47 MnT in Q1 2019 which was recorded at 1.25 MnT in Q4 2018. On a monthly basis, nation’s flat steel imports were marginally down by 4% to 0.48 MnT in Mar’19 as compared to 0.5 MnT in the previous month.
Sentiments- The demand for steel in the nation remains subdued amid weakening Turkish Lira due to political uncertainty and bearish sentiments in the domestic market. Meanwhile on yearly premise nation’s import tumbled by 23% in Mar’19 in comparison to 0.62 MnT in Mar’18.
Countrywise- Russia being the major flat steel exporting nation exported 0.56 MnT in Q1 CY’19; surged by 65% against 0.34 MnT in the previous quarter. Other major flat steel exporting countries to Turkey in Q1 CY’19 were Ukraine 0.13 MnT, France 0.11 MnT, Netherland 0.11 MnT, South Korea 0.09 MnT, followed by Romania at 0.07 MnT and Brazil at 0.06 MnT.

Finish long steel imports rise 33% Q-o-Q in Q1 2019 – Turkey finish long steel imports surged by 33.3% Q-o-Q and registered at 0.20 MnT in Q1 2019 against 0.15 MnT in Q4’CY18.
while imports registered a surge by 125% on a monthly basis and stood at 0.04 MnT in Feb’19 as compared to 0.09 MnT in Mar’19. On the contrary, yearly premises imports lessen by 10% and observed 0.09 MnT in Mar’19 compared to 0.1 MnT in Mar’18.
Commoditywise- Rebar imports recorded a surge by 70% on a quarterly basis recording at 0.17 MnT in Q1 2019 against 0.1 MnT in Q4CY’18. Structure plunge by 40% and stood at 0.03 MnT in CYQ1’19 against 0.05 MnT in Q4CY’18, Wire rod remain unchanged on a quarterly basis and registered at 0.01 MnT in Q1’CY’19 against previous frame time.
Countrywise – The major supplier of finish long steel remained Iran, witnessing a rise of 150% and stood at 0.10 MnT in Q1’CY19 against 0.04 MnT in Q4CY’18, followed by Spain – 0.03 MnT in Q1’CY19 remains same & UK registered at 0.03 MnT in Q1CY’19 surge by 50% against 0.02 MnT in Q4’CY18.

Quantity in MT,
Source: SteelMint Stats