Summaries

Steel Construction Sector from 2012 to 2013 Assessment of 2012

Turkish steel construction sector was assessed as of the end of 2012 at the following paragraphs;

The progression of the steel constructions was under estimations because of the recession in local and international markets. However the result is much above the country average and satisfactory.
While the Turkish constructional steelwork sector is progressing in parallel with the iron & steel and construction sectors, steel structures sector also realizes important progression in the fields of design, fabrication and construction services. The amount of constructional steel processed in Turkey was; 600.000 tons/year in 2000, but reached to 1,2 million tons/year in 2011 despite the economic crisis in 2008-2009. While the construction sector was speeding down, the amount of processed constructional steel has reached up to 1,4 million tons in 2012. The annual increase rate is about 16,7%.
The business volume of the steel construction sector abroad has increased gradually parallel to the positive development especially in the AMECAB region and economy politics of Turkey based on exportation. The steel construction exportation amount in 2012 is expected to be 780 million USD by the end of the year. The annual increase in the export of steel construction elements is 16,9%.
The increase in the capacity of constructional steel fabrication was provided by developing quality and capacity of current facilities and focusing on automation, instead of the establishing new facilities.
The steel construction making capacity is assessed as 6 million m2 in total; 3 million m2 for cold-formed steel framed buildings, 3 million m2 for traditional steel structure buildings.

Expectations and Targets for 2013
It will be possible to reach the target of 5 million tons in 2023, in case that the yearly increase ratio after 2012 appears to be nearly 12% per year as foreseen by the Turkish Exporters Assembly.

Expected Developments in 2013
Some of the projects and affairs which may affect constructional steelwork sector positively are stated as follows:
* Izmit Bay Bridge (bridge and the viaducts) and the 3rd Bosphorus Bridge which is accepted as a worldwide mega project,

The necessity of wind turbine towers is around Euro 4.2 billion which may be built in Turkey in the following 10 years,
In case of the use of advantages of steel in Urban Renewal Projects, the contribution of this project to the sector is assessed to be 300.000 tons of steel per year. It is being told that, around 6-7 million buildings will be renewed within Urban Renewal. If this target is to be reached only with 250.000 concrete buildings, it takes 28 years to realize, but if about 70.000 steel residential buildings are built in addition to the concrete ones, it may take 22 years. The meaning of this is: Turkey immediately has to get familiar with steel buildings, get use of its advantages. We should not forget that earthquake does not wait 28 years for us.
In the following period, it is foreseen that the steel construction export will go on with current countries, in addition;
Steel construction projects may realise in Libya,
If the stability can be achieved, the export of steel structures may also start to Syria,
Due to balances in the regions, it is expected to have a more stable period in the Middle East,
Sector will reach to new market areas in Africa and some other regions.

Expectations for 2013
It is predicted that domestic and foreign market conditions will be more tough, international competition will be more brutal in year 2013 but it is expected that steel construction maybe in an intensive tempo but much more business than the world average would be achieve, because of the reasons like Turkey heading towards new markets, the increase in the steel constructions needs of Azerbaijan and the expected high demand of Libya.
It is predicted that Turkish steel construction sector will;

Be effective in Russia, Iraq, Azerbaijan and Middle Asian countries, United Arab Emirates, Saudi Arabia, Algeria and Sudan,
Increase market share in Iran and other African countries,
In the following period, it is foreseen that steel construction projects may rise up again with Libya, and if the stability can be achieved, the export may also start in large amounts with Syria,
Also be working in the areas other than AMECAB, and will be exporting to some European countries, like France at first, South American countries like Venezuela and Brasil, and the USA, in 2013.

Targets for year 2013
As a result of the probable progress and expectations mentioned above, in year 2013, it is expected that ;

The amount of constructional steel to be fabricated is to be about 1,6 million tons,
Total worth of the exportation is to be 875 million USD,
The capacity of cold-formed steel constructions (light weight carcase buildings, panel type buildings and container type buildings) to increase around %15 and reach about 3,45 million m2,
The production capacity and quality is to increase around %10 and to reach 1,1 million tons/year suitable for export, and other 3,3 million tons/year ( 4,4 million tons/year in total)
The total constructions capacity of steel residential building is to increase approximately 10% and reach up to 6,5 million m2 a year.

Based on the above assessments, the expected targets for constructional steelwork fabrication and exportation of them are as follows, in 2013;