Southern Europe domestic flat steel prices begin to slip

Prices for flat steel products in the Southern European domestic market edged down this week as trading sources saw a downward trend in demand.

Paragraph entered by Atlantic migration, in order for SteelFirst articles to display correctly on Metal Bulletin.

Hot rolled coil (HRC), cold rolled coil (CRC) and hot dipped galvanized coil (HDG) prices fell to lower levels than last week, with traders telling Steel First on Wednesday September 25 that there had been “no improvement in real consumption”.

Hand in hand with low levels of consumption, “apparent demand is on a downward spiral”, a market contact in Southern Europe said.

Prices for domestically produced HRC slipped to €450-460 ($607-620) per tonne ex-works, from €450-470 ($607-634) per tonne ex-works a week earlier.

CRC prices fell at the top of the range to €525-550 ($708-742) per tonne ex-works from a previous €525-560 ($708-755) per tonne ex-works, while prices for HDG fell to €515-535 ($695-722) per tonne ex-works from €520-545 ($701-735) per tonne ex-works on September 18.

“We thought we would see positive indicators in September, but little has happened,” a second Southern European contact said.

“Prices have to go down again because there was never enough real demand for prices to have risen so much this year in the first place,” he added.

This year has seen a series of price rises from European producers of the full range of flat steel products, including Marcegaglia, ArcelorMittal, Salzgitter and Tata Steel.

Marcegaglia this month announced its third price rise since July.

What to read next
Any bolstering effect on US ferrous scrap exports from the up-month in February’s domestic trade will be tempered in the immediate aftermath of two earthquakes in Turkey — the country’s largest importing region — on Monday, February 6
Steel trading and production have come to a halt in the eastern Turkish region of Iskenderun following a devastating earthquake that hit the region on Monday February 6 and put mills in the area under force majeure, sources told Fastmarkets on Tuesday
A 120-day closure of four Illinois dams scheduled for 2023 will disrupt barge shipments and have potentially both negative and positive impacts on scrap and finished steel products from Canada to Texas
Market participants are cautiously optimistic about a rebound in iron ore concentrate premiums, with steelmakers around the world set to ramp-up production in line with an anticipated increase in demand for steel products, Fastmarkets understands
General Motors (GM) is investing $650 million to develop the Thacker Pass mine in Nevada, the largest known source of lithium in the US and the third largest in the world
We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
Proceed