French rebar production decreased in May

Export sales to other European markets have decreased significantly, while activity remains sluggish with only back-to-back supplies being received.

Distributor sources say that last week was slightly more active in terms of rebar orders, but new construction projects in France have been postponed. Buyers' stocks are said to be relatively low, as is the market's demand for the material. Local producers are implementing production cuts but this is unlikely to have a positive impact on consumption given the stalemate in the European construction sector.

After decreasing in the first half of the month, local rebar prices are mostly stable at the moment. Prices are hovering between €650-680/ton ($697-729) depending on volumes and customers.

Private residential building licences in France have been decreasing this year along with the number of new construction sites. The French construction federation Fédération Française du Bâtiment (FFB) reported earlier this month that building permits decreased by 31% y-o-y in the first quarter.