ArcelorMittal has been communicating to European customers since last week that it intends to raise all new offers for commodity-grade long products by €60/tonne ($68.10/t). This is on the back of increased energy costs, sustained demand and higher raw material prices.
The move is effective for all new orders, Kallanish understands.
In addition to higher production costs fuelled by energy and raw material prices, market sentiment also firmed due to higher prices heard in international markets such as Turkey.
In December last year, ArcelorMittal implemented a price increase of some €100/t for long product orders in Europe. This new announcement is believed to be a continuation of that trend started in December.
According to Kallanish, rebar transaction prices in Italy have jumped some €120-150/t since mid-October 2021. In northern Europe, the increase has been less pronounced, some €30-50/t since mid-October.
Emanuele Norsa Italy