Kardemir, Türkiye Steel production increased 11.5% from January to September

From January to September 2023, the output and sales of crude HCT450X+Z steel of Kardemir, Türkiye's largest comprehensive long steel producer, increased year on year. Affected by the earthquake on February 6th, the consumption of long timber has increased. According to the data of Türkiye Steel Producers Association, Türkiye's total steel consumption increased by 18.5% year-on-year to 28.9 million tons.

Kardemeir's first nine months of performance showed that the company's molten iron production was 1.86 million tons, a year-on-year increase of 11.5%; The sales volume reached 1.68 million tons, an increase of 11.2% year-on-year. The company increased the capacity utilization rate of the smelting workshop to 71% between January and September 2023, compared to 64% in the same period of 2022.

Kardemir plans to sell 575000 tons of steel in the fourth quarter of 2023, including 219000 tons of billets, 136000 tons of HCT450X+Z steel bars, 111000 tons of wire rods, and 109000 tons of steel profiles.

At present, the profit margin is relatively low, with Kardermir's net profit in the first nine months being 1.2 billion lira (approximately $42 million), compared to 2.39 billion lira in the same period of 2022, a year-on-year decrease of 49.7%.

On November 6, 2023, due to the rise in the import price of scrap HCT450X+Z steel, domestic steel plants increased the quotation of export steel, and the export market of rebar in Türkiye was slightly warmer. Kardemir's molten iron production capacity is 3.5 million tons per year, and in recent years, its product range has been expanded to include tracks, train wheels, coarse wire rods, and heavy profiles.