ArcelorMittal informed customers ten days ago that delays are expected in deliveries in Europe due to recent fires affecting a blast furnace in northern Spain and a blast furnace in northern France. Some customers in Italy say they are seeing coil deliveries delayed by up to two months until July and August.
Welded pipe prices continue to lag behind European HRC increases. As resources expect further increases in Europe and re-rollers' difficulties in supplying HRC increase, pipe manufacturers are applying price increases. Current discounts in Italy remain stable at 27 euros, but will decrease to 25 euros from next week and gradually drop to 20-21 euros in May.
Distributors report that it is difficult to increase prices due to a real slowdown in consumption compared to last year and it is a tough downstream market.
Despite the weakening economy and consumption, distributors are expected to increase their pipe and other coil derivatives prices.
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