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Spain's scrap and rebar markets continue to expect September price hikes

Spain's scrap and rebar markets started the last week of August with little activity. According to sources, prices were unchanged, while demand was almost non-existent in the last days of the country's summer holiday period.

Spain's scrap and rebar markets continue to expect September price hikes

A source said, "The market started the week very quietly, but both scrap collectors and rebar sellers are waiting for prices to start moving. The expected recovery in activity in September will push prices up. Prices have been flat since July."

However, the positive outlook for the recovery of the Spain's scrap market is not accepted by everyone. "Local prices will follow the functioning of the international market, not because an improvement in demand in Spain is expected," a market participant commented.

New E8 grade scrap is being offered at €360/t ex-works. Both E40 and demolition grade E3 are at €345-350/t, while E1 is at €300/t on the same basis.

On the other hand, rebar suppliers in southern Spain confirmed that they recorded very low sales in August, with demand mostly centred on small-scale local activities. Since mid-July, they have been offering 16mm material at €320-325/t ($346.05-351.46). When dimensional extras of €262/t and loading costs of €23/t are included, transaction values are €605-610/t ex-works. Some offers were also heard for 16 mm rebar at €600/t delivered.

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