Turkey Steel Exports Rise 3.1 Percent

Turkish steel exports expanded by 3.1% year-on-year to reach 10.3 million tonnes during the first eight months of the year, generating $7 billion in export revenue. Data from the Turkish Steel Producers’ Association (TCUD) highlights an improving trade balance as overall steel imports fell, prompting domestic producers to intensify calls for quantitative import quotas targeting Russia and Far Eastern suppliers to safeguard home market recovery.

Divergent Product Trends and Export Dynamics

Outbound steel shipments were driven primarily by strong demand for semi-finished and long steel products. Semi-finished steel exports surged 68.3% year-on-year to 738,300 tonnes between January and August, while long steel exports rose 3.8% to 5.4 million tonnes. Conversely, flat product exports slipped 4.4% to 4.2 million tonnes. In August alone, total export volume grew 8.1% year-on-year to 1.3 million tonnes, yielding $930.28 million in revenue. Ukraine remained a key regional destination, with imports of Turkish metal products reaching 577,000 tonnes over the eight-month period, accounting for nearly half of Ukraine’s total steel imports.

Domestic Production Expansion and Protectionist Calls

Total Turkish crude steel production rose 6.8% year-on-year to 26.6 million tonnes through August, supported by a 17.3% surge in slab production to 10.67 million tonnes and a 0.7% gain in billet output to 15.9 million tonnes. Finished steel production increased 3.7% to 29.3 million tonnes against a 3.3% rise in domestic consumption. Despite total imports declining 3.7% to 12.2 million tonnes, foreign steel still captured 44.6% of domestic steel consumption and 58.8% of the flat steel segment. In response, TCUD is urging Ankara to implement quantitative import restrictions by 2026 to curb low-cost inflows from East Asia and Russia while accelerating transition toward higher value-added steel manufacturing.

Market Impact

○ Impacted Metals: Carbon Steel Billets, Carbon Steel Slabs, Construction Rebar, Hot-Rolled Flat Steel

○ Direction: Mixed

○ Time Horizon: Medium-term (2026–2027)

○ Affected Industries: Construction, Infrastructure, Shipbuilding, Pipe and Tube Manufacturing, Metal Fabricating

○ Related Price Reports: Steel Weekly Price Report

○ Watch Item: Traders should track prospective policy announcements from Ankara regarding potential 2026 import quotas on Russian and Far Eastern flat steel products.

SuperMetalPrice Commentary:
Turkey’s steel sector is making clear structural progress in expanding its export footprint and lowering overall import reliance, raising its export-to-import coverage ratio to 83%. However, high import penetration in flat steel underlines persistent margin pressures from low-cost regional competitors. If TCUD successfully secures strict quantitative trade protection in 2026, domestic mills will gain significant pricing leverage, though it could realign regional Mediterranean and European trade flows.