European buyers are reportedly avoiding large tonnage purchases and stocking small tonnages of HRC in a slow market.
European HRC market remained steady after a downturn on April 1st. European buyers were reportedly avoiding large tonnage purchases and restocking small tonnages of HRC in a calm market.
SteelRadar data indicated that the German HRC market, which was last down by EUR 25 to EUR 665 on April 1, remained stable. Sources said that some firms in Germany are waiting until June for deliveries, while weak demand is affecting market prices and stocks, with producers preferring to reduce production rather than continue to cut prices and lose money.
The HRC market has been steady for a long time in the Spanish region of southern Europe at EUR 730, while in Italy, where prices fell by EUR 20 on April 1, the situation is currently assessed at EUR 665 and prices have been stable since the start of the week. Sources pointed out that stocks are sufficient to meet demand, but achievable HRC prices should be in the range of EUR 630-640 per ton EXW. In the southern European HRC market, where calm conditions prevailed, offers from Vietnam were reportedly in the range of EUR 570-580 per tonne CFR for June shipment, while an offer from Türkiye was reportedly quoted at EUR 600 per tonne CFR.
Sources told SteelRadar that the rate of price decline is slowing down, but steps such as production cuts and blast furnace shutdowns are necessary to stop the downturn completely.
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