Turkey increased steel production by 14.9% y/y in January-July

In January-July 2024, Turkish steelmakers increased steel production by 14.9% compared to the same period in 2023, to 21.7 million tonnes. This is evidenced by data from the Turkish Steel Producers Association TCUD.

In July of this year, Turkish steelmakers produced 3.1 million tonnes of steel, up 4% compared to July 2023 and 0.5% more than in July 2023.

Domestic steel consumption decreased by 6.3% y/y over 7 months – to 21.8 million tonnes. At the same time, exports of steel products totalled 7.7 million tonnes (+45.3% y/y) and imports 9.4 million tonnes (-14.8% y/y).

In July, consumption fell by 19.4% y/y – to 2.8 million tonnes, exports increased by 48.7% y/y – to 1.3 million tonnes, and imports decreased by 24% y/y – to 1.2 million tonnes.

The export-import coverage ratio, which stood at 47.8 in January-July 2023, increased to 75.8% in January-July 2024.

As GMK Center reported earlier, in 2023, Turkey reduced steel production by 4% compared to 2022, to 33.7 million tonnes, and in 2022, by 12.9% y/y, to 35.1 million tonnes. The decline in steel production in the country in 2022-2023 is due to macroeconomic instability, which has led to high uncertainty in the domestic market.

Turkey has 29 steelmaking plants, including 3 blast furnace plants and 26 electric arc furnaces. Their annual steelmaking capacity is estimated at around 60 million tonnes. In other words, in 2023, capacity utilisation was 58.5%.

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