Turkiye’s crude steel production decreased by 10.1% in the January-September period compared to the same period last year, reaching 24.5 million tons.
According to the information received from the Turkish Steel Producers Association (TCUD), the Turkish steel industry completed 9 months of the year with a decrease in production and an increase in consumption.
Turkiye’s crude steel production increased by 8.4% in September compared to the same month last year, reaching 2.9 million tons. In the 9 months of the year, production decreased by 10.1% and reached 24.5 million tons.
Finished product consumption increased by 30.3% in September compared to the same month of the previous year, reaching 2.8 million tons, and increased by 18.5% in the January-September period, reaching 28.9 million tons.
Foreign trade data
Exports of steel products decreased by 23.3% in quantity to 1.1 million tons in September compared to the same month of the previous year, and decreased by 31.1% in value to $780.1 million.
In the January-September period, exports decreased by 39.7% in amount to 7.5 million tons and decreased by 47.4% in value compared to the same period of 2022, reaching $6.1 billion.
Imports of steel products increased by 10.9% in terms of quantity to 1.2 million tons in September compared to the same month of the previous year. In terms of value, imports decreased by 5.8% to $1.1 billion.
Imports reached 13.6 million tons in the January-September period, with an increase of 20.4% in terms of quantity compared to the same period of 2022. In terms of value, imports decreased by 5.2% to $11.7 billion.
The export-import coverage ratio, which was 93.8% in the 9 months of last year, was recorded as 52.1% in the same period this year.
Dumping investigation was received positively
TCUD Secretary General Veysel Yayan told the AA correspondent that China and India, which are the two largest steel producers in the world and increased their production by 1.7% and 11.6%, respectively, in the 9-month period, played a serious role in the global production increase.
Yayan stated that China turned to export markets due to the contraction in demand in its domestic market, and that it exported 2.7 million tons of steel products to Turkiye with an increase of 65%. He reported that this was effective in increasing Turkiye’s total steel product imports to 13.6 million tons.
Pointing out that there is a stagnation in steel demand in the European Union (EU) market, to which Turkiye exports the most, due to the energy crisis, high inflation and tightening economic conditions, Yayan said that this also led to a decrease in exports to the region.
Yayan informed that imports from the region decreased by only 9.6% and said:
“The Middle Eastern and North African countries, to which we exported extensively in the past, have started to increase their density in our export markets and domestic market due to the energy and raw material advantages they have today. Extraordinary increases in imports, especially from Far Eastern countries at dumped prices, caused the capacity utilization rate, which was 65% in the 9-month period of 2022, to decrease to 57% in the same period of 2023. In this context, the dumping investigation opened by the Ministry of Commerce on October 31 against the import of ‘hot rolled flat steel’ originating from China, India, Japan and Russia is a positive step towards limiting the imports that have increased at extraordinary levels and increasing the capacity utilization rates in the steel industry to their previous levels. Taking similar steps for other steel products will significantly contribute to closing the gap in the sector’s current account balance.”
Source: Trthaber / Prepared by Irem Yildiz