Day: 17 April 2026

Italian-headquartered Marcegaglia has signed a Eur450 million equipment supply agreement with steel plant making company Danieli for the new steelmaking and flat rolling facility in Fos sur Mer, France, as the Italian steel processor seeks to secure upstream supply and cut carbon emissions through scrap-based production.

The Mistral Project, with total capital expenditure of around Eur1 billion, will produce more than 2 million metric tons/year of liquid steel and up to 3 million mt/year of stainless and carbon steel hot rolled coils once operational, the companies said April 14. The facility will cover about 35% of Marcegaglia Group’s total coil and slab demand, primarily supplying the company’s Italian downstream facilities.

The investment represents Marcegaglia’s largest upstream integration project and reflects growing pressure on European steelmakers to reduce emissions while maintaining competitive supply chains. The plant will use scrap metal, low-carbon hot briquetted iron, and nuclear and renewable energy to achieve up to 80% lower greenhouse gas emissions compared to traditional blast furnace steelmaking methods, according to the companies.

The facility will feature an electric arc furnace with the latest-generation technology, a single-strand continuous slab caster producing thick slabs, and a conventional hot strip mill designed to process different charging mixes across a wide range of flat steel grades. The final investment decision is expected by the end of 2026, pending completion of permitting processes and negotiations with French institutions, which the companies described as being in advanced stages.

Platts, part of S&P Global Energy, assessed Northwest European hot-rolled coil carbon-accounted at Eur775/mt ex-works Ruhr April 15, stable day over day.

Author: Annalisa Villa

spglobal.com

The UK automotive industry is pressing the European Union to amend its proposed Industrial Accelerator Act to preserve an Eur80 billion ($94 billion) annual trade partnership that has flourished despite Brexit.

The Society of Motor Manufacturers and Traders said excluding British-built vehicles from the EU’s “Made in Europe” policy would harm manufacturers on both sides of the English Channel, disrupting supply chains and undermining the bloc’s industrial competitiveness goals. The lobby group made the appeal during meetings with EU representatives in Brussels this week.

The UK remains the EU’s largest export market for passenger cars, with trade worth Eur39.7 billion annually to European manufacturers. The EU also sells Eur9.1 billion of automotive components to Britain each year — more than to the US or China, according to SMMT data.

“The value of UK trade to the EU underlines why excluding the UK industry from the proposed Industrial Accelerator Act’s (IAA) ‘Made in Europe’ policy would inflict significant harm on both sides of the Channel, reducing output and supply chain demand, with consequences for consumer choice and affordability,” Mike Hawes, SMMT chief executive said April 17.

Under current IAA proposals, UK automotive products would be excluded from incentives linked to corporate fleet greening programs, which account for around 60% of the EU’s new car market. The policy also affects CO2 super credits that provide financial support for companies adopting zero-emission vehicles.

SMMT said preventing UK access to these incentives would reduce production volumes, constraining EU supply chain demand and leading to reduced consumer choice and higher prices. The organization warned the move would damage battery electric vehicle trade at a critical stage in Europe’s transition to cleaner mobility.

EU-UK trade in BEVs has increased tenfold since 2019, with 61.6% of electric cars sold in Britain imported from EU plants. EU-built BEVs account for nine in 10 models eligible for the UK’s Electric Car Grant, SMMT said.

The UK government this week published final details of the British Industry Competitiveness Scheme, BICS, designed to reduce industrial energy costs that rank among Europe’s highest. SMMT said the measure marked a significant step toward supporting the manufacturing supply chain.

Britain’s heavy goods vehicle market contracted 2.7% in the first quarter amid challenging economic conditions, while bus and coach demand fell by a third following two years of growth. Zero-emission vehicle adoption in the HGV sector declined to a 0.9% market share from 1.4% a year earlier, despite manufacturers offering more than 40 battery-electric models.

SMMT said operator confidence in zero-emission trucks depended on infrastructure development, requiring cross-sector collaboration.

The upcoming UK-EU bilateral summit this summer represents a critical opportunity to ensure British-built vehicles and components are considered equivalent to EU content under the IAA, SMMT said.

Author: Annalisa Villa

spglobal.com

Swedish steelmaker SSAB’s subsidiary Tibnor has received competition authority approval for its Eur40 million acquisition of Ovako Metals Oy Ab, the Finnish distribution arm of European steelmaker Ovako, clearing the way for completion of a deal that will strengthen Tibnor’s position in Finland’s engineering steel market.

The transaction, first announced in December 2025, is expected to close in the coming weeks, SSAB said April 17. The acquisition will expand Tibnor’s footprint in a market where engineering steels serve manufacturing, process and construction sectors.

The deal reflects ongoing consolidation among Nordic steel distributors as companies seek scale advantages in a region where steel consumption patterns are shifting toward higher-value specialty products. Tibnor will absorb Ovako Metals’ product portfolio, logistics and warehousing activities, processing services and local sales organizations in Finland.

“Ovako Metals’ strong position in Finland and its recognized expertise in engineering steels and value-added services fit perfectly with our strategy,” Fredrik Haglund, Tibnor’s president and chief executive, said in a statement.

“This is a positive next step for our customers in Finland,” said Marcus Hedblom, President and CEO of Ovako in a separate statement. “Through Tibnor, customers will benefit from a strengthened distribution setup with greater scale, an expanded product range and strong local presence. We are confident that this will create long term benefits and continue to deliver great value to our customers.”

The divestment is in line with Ovako’s strategy to focus on its core business as a leading producer of engineering steel, while ensuring that distribution activities in Finland continue to develop under an owner with distribution as its core competence, the company said.

The acquisition gives Tibnor access to Ovako Metals’ established customer relationships in Finland’s engineering sector, where demand for specialized steel grades used in machinery, equipment manufacturing and industrial applications has remained relatively stable despite broader economic headwinds affecting European steel markets.

Engineering steels typically command premium pricing compared with commodity-grade products, offering distributors higher margins on value-added processing and technical services.

Tibnor operates as a subsidiary of SSAB, the Swedish steelmaker that runs mills in Sweden, Finland and the United States and is a steel and metals distributor in the Nordic and Baltic regions.

Platts, part of S&P Global Energy, assessed Northwest European hot-rolled coil carbon-accounted at Eur775/mt ex-works Ruhr on April 16, stable day over day.

Author: Annalisa Villa

spglobal.com

The German Steel Federation (WV Stahl) has stated that it has welcomed the agreement between EU institutions on a new, significantly strengthened trade defense instrument for steel imports, describing it as a key step to protect the German and European steel industry.

The Council of the European Union and the European Parliament reached a provisional agreement on new measures aimed at protecting the EU steel industry from global overcapacity and rising import pressure, as SteelOrbis previously reported.

New system to strengthen protection against import pressure

According to the association, the new instrument will introduce country- and product-specific tariff-rate quotas with clearly defined ceilings. Once these limits are exceeded, a 50 percent import tariff will apply.

Kerstin Maria Rippel, managing director of the WV Stahl, stated that the agreement sends a strong signal to protect the steel sector from the effects of global overcapacity while maintaining market openness.

The new framework is expected to address key weaknesses of the previous system by increasing flexibility and responsiveness to market developments. It will also include new rules on determining the origin of goods to prevent circumvention practices, such as rerouting steel through third countries to bypass trade measures.

Industry calls for further measures

While welcoming the agreement, the WV Stahl stressed that additional steps are needed to address the ongoing crisis in the sector.

These include closing gaps in the Carbon Border Adjustment Mechanism, creating lead markets for low-emission steel produced in the EU, and ensuring competitive energy prices for energy-intensive industries.

The International Monetary Fund (IMF) has revised its global growth outlook forecast for 2026 and 2027 in its April 2026 World Economic Outlook report, projecting global growth at 3.1 percent in 2026, down from previous expectations, before a modest recovery to 3.2 percent in 2027. The revision reflects increasing uncertainty driven by the Middle East conflict, alongside ongoing trade tensions and financial market volatility.

Global headline inflation is expected to increase slightly in 2026, largely due to rising energy costs, before declining again in 2027. The combined effect of slower growth and higher inflation is expected to weigh more heavily on emerging and developing economies, where external vulnerabilities remain elevated.

Risks tilt toward lower growth and higher inflation

The IMF noted that the balance of risks has shifted, with downside risks to growth and upside risks to inflation becoming more pronounced. Adverse scenarios involving weaker growth and higher inflation are now more likely compared to earlier forecasts.

Global trade is expected to weaken in the near term due to geopolitical tensions, rising trade barriers, and ongoing supply chain disruptions. Trade fragmentation and tariff increases are identified as key risks that could further dampen economic activity and reduce long-term output.

Advanced economies face uneven recovery

In the United States, growth is projected at 2.3 percent in 2026 and 2.1 percent in 2027, supported by domestic demand and fiscal measures, though trade barriers continue to weigh on activity.

In the euro area, growth is expected to remain subdued at 0.9 percent in 2026 and one percent in 2027, reflecting weak industrial output and sensitivity to energy prices.

The United Kingdom is projected to see growth slow to 0.8 percent in 2026 before recovering to 1.3 percent in 2027. The report attributes the 2026 slowdown to the war and a slower pace of monetary easing, while the 2027 recovery remains slower than expected before the war because the effects of higher energy prices persist.

For Japan, the IMF stated that growth is foreseen at 1.2 percent in 2026, and 1.2 percent in 2027. Japan benefits from stronger growth momentum and offsetting government measures, which help moderate the impact of the Middle East conflict relative to other advanced economies.

Emerging markets show mixed outlook

China’s growth is forecast at 4.4 percent in 2026 and four percent in 2027, supported by policy stimulus but constrained by structural challenges. The 2026 forecast is revised upward relative to October because lower US effective tariff rates on Chinese goods and stimulus measures offset the negative effects of the Middle East conflict. The slowdown in 2027 is attributed to structural headwinds, including a prolonged housing slowdown, a declining labor force, diminishing returns on investment, and weaker productivity growth.

India remains one of the fastest-growing major economies, with growth projected at 6.5 percent in both 2026 and 2027. For 2026, growth is revised upward moderately by 0.3 percentage point, led by positive contributions from the carryover of the strong 2025 outturn and the decline in additional US tariffs on Indian goods from 50 to 10 percent, which outweigh the adverse impact of the Middle East conflict.

Turkey’s growth forecast has been revised downward by 0.8 percentage point to 3.4 percent in 2026, as 2025 growth was weaker than expected and higher oil and gas prices weigh on activity. The IMF’s growth forecast for 2027 has been cut to 3.5 percent from 4.1 percent previously.

Structural risks and global imbalances

Energy prices are expected to rise in the near term due to geopolitical disruptions, contributing to inflation and affecting trade balances. Global financial conditions remain tight, with high interest rates weighing on investment and credit growth, particularly in emerging markets.

Debt vulnerabilities remain elevated, especially in low-income countries, where refinancing risks are significant. Trade tensions and tariff increases continue to pose risks to global output, while persistent current account imbalances reflect underlying structural differences across economies.

Steel hot-rolled coil (HRC) prices in Northern Europe inched downward on Thursday as some suppliers sold the last tonnages of the second-quarter delivery volumes at a discount; near-term sentiment remained firm, driven by the imminent new trade regime, Fastmarkets heard on Thursday April 16.

Fastmarkets’ daily steel hot-rolled coil index domestic, exw Northern Europe was €709.48 ($836.58) per tonne on Thursday April 16, down by €9.48 per tonne from €718.96 per tonne on Wednesday April 15.

The index was also down by €10.52 per tonne week on week but up by €3.85 per tonne month on month.

A large European steelmaker sold a large tonnage of HRC, cold-rolled coil (CRC) and hot-dipped galvanized coil (HDG) with the second-quarter delivery to several steel service centers (SSCs). Total volumes were about 50,000 tonnes, with HRC accounting for about half of it.

The HRC price was reported at around €680 per tonne ex-works, CRC at €790 per tonne ex-works, and HDG at €800 per tonne ex-works.

Sources said that SSCs were looking to replace flat steel volumes due to technical issues at one of the Benelux-based integrated mills, which has been unable to deliver some orders.

A medium-tonnage deal for HRC was heard done in Germany at €725 per tonne delivered (€710 per tonne ex-works) for June delivery.

Buyers estimated achievable prices at €700-720 per tonne ex-works in April.

Several integrated mills indicated target offers at €750-770 per tonne ex-works for July delivery coil, expecting tighter import availability to support the increase, owing to the implementation of a new trade regime as of July 1.

Overall, trading activity remained limited, with buyer sources saying they have sufficient inventories and are in no hurry to purchase new tonnages.

“There is a lot of uncertainty over the new trade regime and new imports; new target offers European mills [have] indicated for July are not workable so far, so everybody just waits,” a buyer source in the Benelux area said.

A leading European steelmaker was yet to announce new offers for second-quarter delivery HRC. Sources expected the company to come back with fresh offers in late April.

“[The European mill] waits for country-specific quota volumes for imports to be revealed – after that we expect a big “jump” in offers,” a buyer source in Germany said.

Earlier this week, the European Council and European Parliament reached a provisional agreement on a new trade regime. A new tariff-rate quota (TRQ) system is set to replace the existing steel safeguard measures starting July 1. This will cut the overall volume of steel import quotas by approximately 47% compared with the 2024 safeguard quotas (18.3 million tonnes of import volumes per year) and increase the out-of-quota duty to 50% from the current 25%, Fastmarkets understands.

The distribution of TRQ quotas between countries is yet to be revealed.

In Southern Europe, meanwhile, Fastmarkets’ daily steel hot-rolled coil index domestic, exw Italy was calculated at €698.75 per tonne ex-works on April 16, up by €0.25 per tonne from €698.50 per tonne on Wednesday.

The index was down by €0.25 per tonne week on week but up by €4.75 per tonne month on month.

Sources in Italy estimated achievable prices for HRC to be around €690-700 per tonne ex-works, while local sellers maintained offers at no lower than €700 per tonne ex-works.

In the secondary market, sources reported transactions for 4mm S235 grade hot-rolled (HR) sheet at €800 per tonne CPT in Italy.

A local re-roller, which suspended HRC production at the beginning of April due to technical issues, was expected to resume operations during May, sources told Fastmarkets.

Meanwhile, new import HRC offers to Europe remained limited. Sources said that only suppliers from Turkey, India and Algeria were active in the market, offering June shipments.

One source, however, claimed that an Indian mill was able to offer HRC shipment in mid-May, which would mean end-June arrival – so before the new trade regime is implemented. From India, offers were heard at €600 per tonne CFR to Italy.

On Thursday, offers for Turkish coil were reported at €620-630 per tonne CFR to Italy, including anti-dumping duty. One source reported offer for Turkish material at lower levels of €605-610 per tonne CFR.

From Algeria, offers were heard around €680 per tonne CFR to Spain.

European domestic cold-rolled coil (CRC) and hot-dipped galvanized coil (HDG) prices decreased in the week to Wednesday April 15, with reports of subdued trading activity as buyers resisted higher prices from mills, Fastmarkets heard.

The downward movement followed a recent upward momentum observed in European domestic flat steel coils, supported by tighter import availability as a result of the EU’s Carbon Border Adjustment Mechanism (CBAM) and new safeguard measures, set to come into effect on July 1.

Sources said that there was currently little demand for imported material in Europe, while buyers’ appetite for domestic coil also appeared to have subsided, with the market remaining in a wait-and-see mood.

CRC and HDG were heard to be available for July delivery, according to a source, with reports of mills remaining sufficiently booked.

In Northern Europe, prices for domestic CRC and HDG decreased in the week to Wednesday.

Estimates of workable levels for CRC were heard at €810-820 ($955-967) per tonne ex-works, while offers were reported in the range of €815-820 per tonne ex-works.

Fastmarkets’ weekly price assessment for steel cold-rolled coil domestic, exw Northern Europe was €810-820 per tonne on Wednesday, down from €820-830 per tonne the previous week.

The weekly price assessment for steel hot-dipped galvanized coil domestic, exw Northern Europe was €810-820 per tonne on Wednesday, also down from €820-830 per tonne the previous week.

The updated range matched sources’ estimates of workable levels, also heard around €810-820 per tonne ex-works during the week.

According to a source in Northern Europe, market sentiment had become “a little bit negative” as a result of recent geopolitical developments, which have affected growth rates.

“Nobody expects that prices will collapse, but third-quarter market increases might not be realistic,” the source added.

Meanwhile, Southern European domestic CRC and HDG prices also decreased.

Fastmarkets’ weekly price assessment for steel cold-rolled coil domestic, exw Southern Europe was €800-825 per tonne on Wednesday, widening downward from €820-825 per tonne the previous week.

The upper end of the range was estimated to offers heard around €825 per tonne ex-works, while estimates of tradable levels were heard at €800 per tonne ex-works.

Fastmarkets’ weekly price assessment for steel hot-dipped galvanized coil domestic, exw Southern Europe was €810-820 per tonne on Wednesday, down from €825-835 per tonne the previous week.

The lower end was estimated to a deal heard at €810 per tonne ex-works, while offers were reported around €815-820 per tonne ex-works.

Meanwhile, import prices for CRC and HDG across the region were unchanged in the week to Wednesday, both on a CFR and a DDP basis, amid a lack of clarity around new trade measures.

Offers for HDG from Japan to Italy were heard around €780-789 per tonne CFR, but no new trading activity was reported during the assessment period.

“Nobody knows how much the new safeguards are going to impact [imports],” a source told Fastmarkets, adding that there was no significant demand for imported material, especially now that delivery times have been extended.

The escalation of the conflict in the Middle East has recently led to higher freight costs and broader logistical issues, especially for Asian importers, Fastmarkets heard.

Norwegian steel startup company Blastr was understood to be the preferred bidder for the previously Liberty-owned Speciality Steel UK (SSUK), which includes sites at Rotherham and Stocksbridge, Fastmarkets heard on Thursday April 16.

UK industry representatives were hopeful that the chosen bidder will eventually restart steelmaking at the electric-arc furnace (EAF) unit in Rotherham, South Yorkshire, which has been largely dormant since 2024.

The UK government announced on Wednesday that “a period of exclusivity has been agreed with a preferred bidder, marking the next stage of a future sale agreement,” without disclosing the identity of the preferred bidder.

It was part of the UK government’s efforts to move SSUK back into private ownership, following its liquidation under previous owner Liberty Steel in August 2025 and subsequent entry into government receivership.

The process was expected to last around five weeks, during which the bidder would be expected to progress its bid, the UK government said.

A UK industry source confirmed on Thursday that Blastr was the preferred bidder for the unit, though he was unsure of the company’s plans at this stage.

The expectation was for the assets to be acquired with the intention of resuming steel production, he added, noting that alternative uses would be uneconomic given the nature and value of the facilities.

Norway’s Blastr was established in 2021 with the intention of becoming a low-carbon integrated steel producer.

The company has previously outlined plans to develop approximately 2.5 million tonnes per year of hot and cold rolled steel capacity through EAF production in Finland.

The company also said in 2023 that it was exploring plans for a UK direct reduction (DR) pelletizing facility in Teesside, northeastern England, to supply direct reduction iron feedstock to its planned steelmaking operations in Finland.

Major market participant
The business had been unable to continue steelmaking operations due to a lack of financial capital to procure raw materials such as ferrous scrap, the UK source said, although he added that equipment at the sites was ready to restart once funding conditions allowed.

Before its closure, it was one of the largest domestic scrap consuming companies alongside Tata Steel’s basic oxygen furnaces (BOFs) in Port Talbot and Celsa Steel’s EAF complex, both in Wales, the latter now owned by Sev.en Global Investments.

With Tata’s shuttering of its melting operations to make way for EAFs later in the decade, together with the idling of the Rotherham EAF, UK steel production and domestic scrap use slumped to new lows in 2024-25.

UK steel output fell to 2.50 million tonnes in 2025, down by 38% year on year, according to the World Steel Association.

Liberty Speciality Steel UK includes three mills. These are:
• Rotherham Steel & Bar, equipped with a 1.3 million tpy EAF, focused on production of speciality steel bars
• Brinsworth Narrow Strip, capable of producing 300,000 tpy of hot-rolled coil and a range of other grades; and
• Stocksbridge High Value Manufacturing, focused on production of merchant bar (500,000 tpy).

Hopes of restart
Industry bodies and trade unions welcomed the development. Trade body UK Steel said that the identification of a preferred bidder was a constructive step toward securing the future of the business.

“The announcement of a preferred bidder for SSUK is a positive move toward moving the company back into private ownership, securing the future of this vital national asset. We await further details with great interest,” Gareth Stace, director general of UK Steel, said on Thursday.

“This is an important moment and we hope that this milestone – following the government’s intervention last autumn – will help to end the long period of uncertainty which our members at SSUK have endured,” Roy Rickhuss, steelworker trade union Community’s general secretary, said on Wednesday.

Before its stoppage, SSUK was supplying high-grade speciality steel products to the defense and aerospace industries, supplying key customers such as Rolls-Royce and Airbus, according to market sources.

This made the unit highly important, given a renewed focus on defense spending in European political discourse following the outbreak of conflict in Ukraine and, more recently, in Iran and Lebanon.

“SSUK’s sites are vital strategic assets,” Rickhuss added, “and with the right plan in place, the business can have a bright future.”