Turkish crude steel production fell -12.5% on-year in February to 2.64 million tonnes, according to the Turkish Steel Producers Association (TCUD). It thus rebounded slightly from its 40-month low of 2.57mt in January.

Electric arc furnace-based output fell -17.3% on-year in February, while oxygen converter-based production was down -1.5%.

In January-February Turkish crude steel output thus fell -16.1% on-year to 5.2mt, with EAF-based output down -21.9% to 3.33mt and BOF-based production down -3.2% to 1.87mt.

Two-month slab output nevertheless increased 3% to 2.03mt, but billet production plummeted 24.9% to 3.18mt.

Turkey’s slowing economy has hampered steel consumption since mid-2018, depriving Turkish producers of sales in their domestic market. Turkish finished steel consumption declined -15% on-year in 2018 to 30.6mt, a drop equivalent to 5.4mt, having risen 11.5% in the six months through June 2018 (see Kallanish passim). Consumption declined a further -43.3% on-year in January to 1.7mt.

Lower domestic consumption in January was offset by an 18.2% growth in overall steel exports to 1.9mt. Shipments of Turkey’s most-exported product, rebar, rose 2% to 558,676t, but Turkish mills relied heavily on stalwart markets.

TCUD said earlier this month input prices will in the second half of 2019 return to levels that support production. Export tonnages could go back to 2018 levels therefore if protectionism dwindles in foreign markets (see Kallanish passim).