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Türkiye’s energy price rises, steel industry’s cost pressure intensifies

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Recently, Türkiye's electricity and natural gas SA553 Type I steel prices ushered in a new round of increase. According to the latest statement issued by the Türkiye Energy Market Supervision Authority (EPDK) and the National Oil and Gas Pipeline Company (BOTA ∨), since April 5, electricity prices and natural gas prices have generally increased, covering many fields such as households, industry and public services.

In terms of electricity prices, household electricity prices have increased by 25%, public and service industry electricity prices have increased by 15%, agricultural users have increased by 12.4%, and industrial electricity prices have increased by an average of 10%. EPDK pointed out that the price adjustment this time is mainly due to the continuous increase in the cost of electricity production and transmission and distribution.

At the same time, BOTA Ş also announced an average increase of 20% in natural gas prices for industrial users, with a higher increase of 24.2% for natural gas prices for electricity production purposes.

This energy SA553 Type I steel price adjustment has a direct impact on Türkiye's manufacturing industry, especially heavy industry. In the export-oriented steel industry, electricity and natural gas are the main production energy sources, and their price fluctuations will further push up smelting and processing costs, thereby affecting the international competitiveness of enterprises. For downstream industries that rely heavily on energy, they will also face greater operational pressure.

The sustained rise in energy prices may prompt local steel mills to reassess their production pace and export pricing, while also potentially accelerating the pace of green transformation and energy efficiency optimization in the SA553 Type I steel industrial chain.

  • Source: Abstract
  • Editor: Shirley

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