Germany
In Germany, steel plate prices initially decreased by EUR 40 to EUR 710. This decrease signalled a continuation of the steady decline in prices throughout June, as noted by a German buyer purchasing from integrated northwest mills. On the other hand, 14-40 mm [EN10025 (S235JR)] steel plate from CFR Antwerp decreased by EUR 15 to trade at EUR 600, sources said, reflecting the impact of recent discounts from re-rollers.
In Germany, E40 scrap prices started the week to 8 July with an increase of EUR 8 to reach EUR 378. This increase was driven by stable demand in the domestic market and limited export activities. Declining production, especially in the German automotive industry, led to a drop in scrap demand. However, export orders from countries such as Turkey helped some German steelmakers to revive demand.
Germany's flat steel markets show a remarkable stagnation in the second week of July 2024. HRC prices were stable at EUR 635 and CRC prices at EUR 735. After gaining momentum by EUR 15 in the first week of July, the German rebar market was unchanged in the week to 8 July, with prices remaining stable at EUR 635. The overall weakness in demand put pressure on prices. Fewer ongoing construction projects and delayed new projects in Germany resulted in low demand.
Poland
Wire rod prices in Poland were updated with a significant drop on 8 July 2024. Having started the week with a decline of EUR 30, wire rod prices are currently trading at EUR 658. Among the factors behind this decline in wire rod prices were the slowdown in global steel demand and fluctuations in raw material costs. In particular, increases in iron ore and energy costs affected wire rod production costs and pressured prices downwards.
On the other hand, rebar prices in Poland remained stable at EUR 618. The ongoing local construction projects and infrastructure works played an important role in the stable course of rebar prices.
Italy
E3 scrap prices in Italy decreased by EUR 2 to EUR 368 in the week to 8 July. This was mainly due to lower sales of flat and long steel products, sources said. Steel mills are negotiating with their raw material suppliers to increase their profits, while they tend to reduce production to stabilise their production capacities.
In Italy, 14-40 mm [EN10025 (S235JR)] steel plate prices decreased by EUR 20 to EUR 670. The manager of an Italian milling group interpreted this drop in the market as "the bottom has been reached", noting that prices have softened more than expected.
In the second week of July 2024, HRC and CRC prices in Italy remained stable. HRC prices were maintained at EUR 625 and CRC prices at EUR 750. After the price changes in June, the market remains in recession.
Rebar prices in Italy started the week with a decrease of EUR 10 to EUR 630 as of 8 July 2024. The construction industry in Italy is usually active during the summer months. This year, however, both uncertainties in raw material prices and increases in financing costs are causing construction projects to be postponed or slowed down. This has reduced demand for rebar, contributing to lower prices. In addition, Italian rebar producers are struggling to overcome weak demand and high costs with rising energy costs.
Spain
Spain's HRC and CRC markets were unexpectedly stable during the week to 8 July 2024. HRC prices were stable at EUR 645 per tonne, while CRC prices remained at EUR 790. In addition to long-term contracts, limited steel shipments to the European market by major steel suppliers such as South Korea and Japan also contributed to the stable prices.
Rebar prices in Spain remained unchanged at EUR 595 per tonne in the week to 8 July 2024. It was noteworthy that prices remained stable in the Spanish rebar market despite supply constraints in some steel mills across Europe.
Netherlands
HMS 1/2 (80:20) scrap prices in the Netherlands increased by USD 1 to USD 366, compared to last week. This increase reflects the dynamism of the scrap trade in the region. The Netherlands is positioned as a major scrap trading hub in Europe and prices here can be prone to sudden movements.
Benelux
HMS 1/2 (80:20) scrap prices in the Benelux region remained stable at EUR 325. In the upcoming period, the course of scrap prices in the Netherlands and the Benelux region will be shaped by regional demand, export dynamics and global market conditions.
UK
UK wire mesh prices increased by USD 2.5 to USD 579.50 in the week to 8 July. The steel industry has been volatile due to changes in raw material costs and the impact on demand. Advances in infrastructure projects and increases in construction activity in the UK continue to support steel demand.
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