Germany
Steel producers in Germany are finding it difficult to fill their order books due to the slowdown in construction activity and fierce competition. Rebar prices fell by EUR 10 to EUR 615 on 3 June.
Hot rolled coil (HRC) prices in Germany similarly fell by EUR 10 to EUR 635. European distributors are avoiding large volume bookings due to price and demand uncertainty. Cold rolled coil (CRC) prices fell more significantly by EUR 30 to EUR 725. This decline was made more pronounced by the lack of demand in the European market and the impact of the holiday periods. Producers report that margins are under pressure and profits are being lost due to consumers who are only interested in lower prices.
In Germany, E40 scrap prices remained stable at EUR 368. The scrap market is expected to remain stable for some time due to supply shortages and international demand. Steel plate prices, on the other hand, rose by EUR 5 to EUR 760, signalling a significant increase in demand for plate.
Italy
Rebar prices rose by EUR 5 to EUR 605 on 3 June. New offers have pushed prices higher, but demand remains weak and uncertain, sources said. Unfavourable weather conditions in northern Italy have slowed down construction activity, putting pressure on the market.
According to SteelRadar data, the scrap market is also showing activity. E3 scrap prices rose by EUR 18 to EUR 383. High scrap costs and shortages in local scrap supply led to higher offers being accepted in the Italian market.
Wire rod prices rose by EUR 3 to EUR 653. Italian mills stated that the increase in scrap costs pushed up production wire rod costs and they tried to offset this situation with production cuts.
Prices of flat steel products, on the other hand, declined. HRC (hot rolled coil) prices fell by EUR 15 to EUR 630 and CRC (cold rolled coil) prices by EUR 10 to EUR 745. Producers say that they have to cut production due to low margins and prices. Galvanised steel coil prices also fell by EUR 28 to EUR 846.
Plate steel prices fell by EUR 20 to EUR 690. Market sources said that they were cautious and limited their purchases due to economic uncertainty and the stagnation in the global steel market.
Spain
According to SteelRadar data, HRC prices in Spain dropped by a significant EUR 30 to EUR 645, while CRC prices fell by EUR 5 to EUR 795. Contrary to expectations, the low level of market demand has a negative impact on the profit margins of producers. In particular, consumers' preference for low prices increases competition in the sector and reduces profit margins.
Recently, weak demand and increased competition in Spain led to a decline in rebar prices. Rebar prices in Spain dropped by EUR 20 to EUR 580.
Poland
Rebar prices, which started last week with an increase of EUR 3, remained stable in the week of 3 June. According to SteelRadar data, rebar prices continued to trade at EUR 628.
A similar situation was observed in the wire rod market. Wire rod prices, which increased by EUR 5 to EUR 675 in the last week of May, continued to be traded at the same price on 3 June.
Netherlands
HMS ½ (80:20) scrap prices in the Netherlands, which followed a volatile course during the week of 27 May, started the week of 3 June with an increase of 1 USD.
Prices are currently trading at 351 USD.
Benelux
Benelux HMS 1/ 2 (80:20) scrap prices started the week of 27 May down by EUR 3 to EUR 310. According to SteelRadar data, they continue to be traded at the same price in the week of 3 June.
Benelux scrap prices have been calculated as 310 EUR at the moment.
United Kingdom
According to SteelRadar data, the UK steel mesh market experienced a slight recovery on and after 28 May, first rising to USD 576 on 28 May and then to USD 580 on 30 May. However, this rise did not last long. Falling by USD 7 to USD 573 on 31 May, the steel mesh market closed the month of May in this way.
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