Northern Europe domestic HRC prices slip amid weak demand; Italian market up on latest offers
Prices for domestic steel hot-rolled coil (HRC) decreased slightly amid slow market activity in Northern Europe, while prices in Italy increased on the latest offers, sources told Fastmarkets on Wednesday June 10.
In Northern Europe, a buyer source reported an indication at €680 ($786) per tonne ex-works and an offer at €750 per tonne ex-works for August-September delivery on Wednesday.
The offer was given zero tonnage due to its delivery time exceeding the six-week window determined by Fastmarkets’ methodology.
A second buyer source reported an indication for achievable levels at €670-685 per tonne ex-works, an offer at €700-705 per tonne ex-works and higher offers at €720-750 per tonne ex-works for July orders. The higher offers were given zero tonnage due to a lack of buying interest at that level.
Sources said consumption was “not good,” while weak demand continued to weigh on market sentiment.
Fastmarkets’ daily steel hot-rolled coil index domestic, exw Northern Europe was calculated at €686.67 ($792.95) per tonne on June 10, down by €1.83 per tonne from €688.50 per tonne on June 9.
The index was down by €3.33 per tonne week on week and down by €2.91 per tonne month on month.
In Italy, HRC offers were heard at €680-695 per tonne ex-works, while indications ranged €665-685 per tonne ex-works on Wednesday.
One mill source also reported a lower indication at €670 per tonne delivered (€655 per tonne ex-works), but other sources said it was probably linked to stock material, with one source saying that this level was “impossible for primary production.”
Fastmarkets’ daily steel hot-rolled coil index, domestic, exw Italy was calculated at €685.00 per tonne on Tuesday, up by €3.12 per tonne from €681.88 per tonne on Monday.
The index was up by €12.25 per tonne week on week but down by €1.35 per tonne month on month.
European domestic steel CRC, HDG prices stable, import sector quiet
European domestic prices for steel cold-rolled coil (CRC) and hot-dipped galvanized coil (HDG) were largely stable in the week to Wednesday June 10, although the import markets for these products were extremely quiet because sector participants were waiting for clarity on the new safeguarding measures that the EU intended to impose, starting on July 1.
In Northern Europe, indications of tradeable prices for both CRC and HDG were heard at €800 ($924) per tonne ex-works.
Market participants noted that the lack of available imported CRC, as well as the fact that the price of annealing was included in the production of HDG and was not an extra, made the price for these two products equal, when normally HDG costs €10-20 per tonne more.
Fastmarkets’ weekly price assessment for steel cold-rolled coil, domestic, exw Northern Europe, was €800 per tonne on June 10, narrowing from €790-810 per tonne on June 3.
The corresponding price assessment for steel hot-dipped galvanized coil, domestic, exw Northern Europe, was also also €800 per tonne on June 10, similarly narrowing from €790-810 per tonne on June 3.
In Southern Europe, Fastmarkets’ weekly price assessment for steel cold-rolled coil, domestic, exw Southern Europe, was €800-820 per tonne on June 10, while the weekly price assessment for steel hot-dipped galvanized coil, domestic, exw Southern Europe, was at the same level, both unchanged week on week.
In the import sector, no new offers were heard during the week, with buyers preferring to wait and watch until country-specific quotas under the new safeguards became clear.
European steel industry attracts new investment
Despite Europe’s steel industry remaining beset by demand destruction and high energy prices, recent policy measures have made the region more attractive for investment, panellists said at the Kallanish Europe Steel Markets 2026 in Vienna.
GMK Center chief executive Stanislav Zinchenko said steelmakers have a unique opportunity to use improving margins to modernise and decarbonise assets. He estimates that industry margins could double by 2027 compared with 2025 levels. Higher profitability could make capacity restarts and new investments more attractive.
However, new investments could cause a supply imbalance. Zinchenko highlighted around 14 million tonnes/year of potential additional flat steel capacity from greenfield developments. “What will Europe do with all this new capacity?” he asked.
Banks are supplying financing, but the steel sector is struggling to compete with “more sexy” sectors such as AI, noted ING Bank director Matthias Winkeler.
Policy support is increasingly key to securing finance, he noted. The greater the certainty of protective policies such as the Carbon Border Adjustment Mechanism (CBAM), the more confidence banks had that steel companies would be able to repay their loans.
There are opportunities for specific investments in certain products. Poland’s Huta Częstochowa plant has been revived by Weglokoks with investment from Poland’s Ministry of Defence, noted Adrian Sienicki, vice president of Weglokoks.
The company saw a specific opportunity in steel plate and restored a bankrupt plant. Although defence is a key target sector, it is only expected to account for 7% of sales, and 12% of margins at most.
Another 10% of volumes would be to the energy sector, while the construction and infrastructure industries would be the biggest customers.
GMH Gruppe director of sustainability and communications, Luciana Filizzola, noted that investment in specific products was key. GMH has bought two companies which it is currently integrating in order to produce die-casting and tool steel. This high-tech steel production means the company can export to China, she noted.
However, she warned that one of the key risks to Europe’s steel industry is that the energy prices are too high. This means that even with CBAM and other measures, it is very difficult for European producers to compete on international markets.
Author: Tomas Gutierrez
WV Stahl: A permanent reduction in electricity prices is essential
Confindustria calls for pragmatic EU ETS reform to protect industrial competitiveness
Antonio Gozzi, special advisor for European strategic autonomy, competitiveness and the Mattei Plan at Confindustria, the main association representing manufacturing and service companies in Italy, has once again drawn attention to the need for a revision of the EU Emissions Trading System (ETS), stressing the importance of correcting certain mechanisms which currently risk undermining the competitiveness of European industry. He made the remarks in Brussels during a Confindustria press conference dedicated to the issue.
According to Gozzi, the ETS has played an important role in the decarbonization path of European industry, but developments in recent years have made pragmatic action necessary. Since 2017, he recalled, the price of CO₂ has risen from around €5-8 per metric ton to nearly €100 per metric ton, leading to a sharp increase in costs for the European production system. This increase, he pointed out, has no equivalent in the main competing economies: in markets such as California, for example, the carbon price stands at around $25 per metric ton.
Gozzi also underlined that the impact of the ETS does not concern only companies’ direct emissions but is also reflected in electricity costs. According to various estimates, the mechanism contributes around €25-30/MWh to electricity prices during the hours when prices are set by gas-fired thermoelectric plants. This is a particularly significant factor in Europe, he noted, where energy prices are already substantially higher than in other major economic areas.
For this reason, Confindustria is calling for a pragmatic revision of the ETS, with action on the mechanisms that have contributed to excessively reducing the availability of allowances and increasing costs for companies, while not calling into question the decarbonization targets. “It is positive that the issue has finally entered the European debate,” Gozzi stated, reiterating that the goal must be to combine ecological transition and industrial competitiveness, while preventing European companies from being placed at a disadvantage compared to their international competitors.
Gozzi’s latest remarks are part of a debate that had already emerged in recent weeks, when he repeatedly highlighted the critical issues surrounding the ETS and the need to correct its impact on European industry. The issue falls within a broader context of growing pressure over energy and regulatory costs, which, according to Confindustria, must be addressed through measures capable of supporting the transition without jeopardizing the industrial resilience of the continent.
Author: SteelOrbis Editorial Team
Assofermet Acciai: Prices in Italy set to rise in summer due to new safeguards
According to the latest monthly market report issued by Assofermet, the association representing Italian companies active in the trading, distribution and processing of steel, the Italian steel market is currently dealing with a persistent weakness in downstream demand and upcoming trade policy implementation that could significantly alter price trends during the summer months.
Carbon flat steel service centers face low order books, but look forward to summer recovery
In the carbon flat steel segment, the downstream market continues to show structural weakness. Rare exceptions are represented by the shipbuilding sector, defense, energy (with specific reference to renewables), and a few industrial niches. In recent weeks, European steel mills have registered a slight decline in their price lists. This reduction was promptly passed on and amplified by service centers in an attempt to collect orders and replenish still insufficient order books.
According to Assofermet, however, this bearish trend appears inconsistent with the upcoming European regulatory framework. The imminent entry into force of the new EU safeguard measures on July 1 – characterized by a significant tightening of import quotas and a doubling of out-of-quota duties – combined with CBAM constraints and existing antidumping measures, will drastically reduce procurement options from non-EU countries.
While these restrictions do not directly impact consumption, they will strengthen the bargaining power of EU steel producers. For this reason, it is reasonable to expect that during the summer months, dwindling inventories and the need for new procurement will foster a trend reversal, pushing prices back to significantly higher levels.
Stainless steel sales volumes collapse in May
For service centers specializing in stainless steel, the scenario is quite the opposite: May highlighted a noticeable slowdown in real demand, with volumes falling by 15-20 percent compared to previous months.
As the extraordinary factors that had artificially supported prices during the first four months of the year faded, the structural weaknesses of the sector emerged. The profitability of distribution and processing companies is currently under severe pressure, squeezed by difficult-to-manage corporate costs, stagnant demand and strong competitive pressure. At present, the association does not foresee concrete signs of a recovery for the coming months, noting, “The market therefore remains characterized by high uncertainty, limited visibility on future orders, and general caution across the entire supply chain.”
Stockists see first positive signal since beginning of year
On the other hand, stockists registered the first increase in sales (both in terms of value and volumes) in May 2026 compared to the same month in 2025. This represents the first favorable result since the beginning of the year, although it must be interpreted with caution as it is partly affected by a base effect compared to a particularly complex May 2025. On the international level, the provisional trade agreement reached between the European Union and the United States on May 20, 2026 (which imposes a 15 percent cap on duties for most European goods) reduced short-term uncertainty, even though the issue of the 50 US tariff on steel and aluminum remains unresolved.
By product, Assofermet reports a positive context for longs, flats and hollow sections, mainly driven by a recovery in construction activities and orders from the energy and industrial sectors. In sharp contrast, the stainless steel segment remains in deep trouble. Stainless steel tubes, longs and flats registered significant declines in both volumes and values, affected by a structural weakness that shows no signs of reversal.
Tinplate prices on the rise amid stronger demand
In the tinplate segment, demand is supported by the food sector ahead of the seasonal peak in canning. The progressive rebalancing of the market and destocking along the supply chain are pushing prices upward. This trend is further supported by a contraction in supply, caused by delivery delays from some European steel mills and increasing logistical difficulties regarding imported materials. Expectations for the coming weeks therefore remain oriented toward moderate positivity.
Outlook
In conclusion, the moderate recovery observed in May opens a window of opportunity for the supply chain, but Assofermet warns that it is too early to talk about a structural shift in the market. Final demand remains fragmented and discontinuous, forcing structural steel fabricators, processors and distributors to keep inventories at a minimum and manage procurement with extreme caution. Stockists’ margins will also remain under pressure, squeezed between high purchasing costs and unstable consumption.
In the short term, the stability of the sector will depend entirely on political and commercial factors. Market participants are focusing their attention on the actual impact of the new EU safeguard measures on domestic prices from July 1, as well as on the evolution of negotiations between Brussels and Washington for a possible revision of the 50 percent US customs duties on steel and aluminum by the end of the year.
Author: SteelOrbis Editorial Team
Bureaucracy, regulation bring value, protection for steel
The growing amount of regulation and bureaucracy brings value and protection for the European steel sector, panellists said during the Kallanish Europe Steel Markets conference in Vienna on Tuesday.
Jaap Jan Aardenburg, head of trade affairs at Tata Steel Nederland, told delegates that bureaucracy can be of value to the sector by creating a level playing field. He added the European Commission is now thinking about the consequences of its policies, an improvement on past decision-making.
Wolfgang Mitterdorfer, member of the management board at voestalpine Steel Division, agreed that European bureaucracy is “better than it used to be” and was broadly optimistic about the opportunities ahead.
However, he added: “What we desperately need is predictability,” in relation to the ETS regime. He highlighted his company’s transformation was conceived five-to-six years ago but now the system is changing, and being reviewed again.
While Mitterdorfer noted there has been a psychological impact on the market from the upcoming safeguard changes and CBAM, the full effect has not yet been seen due to customers’ having stockpiled material.
Miroslaw Motyka, Polish Steel Association president, told delegates that more CBAM and regulation was needed, and called for additional products and sectors to be added to CBAM and trade measures, to protect downstream industries.
Judith Neyer, head of energy policy and strategy at Austria’s economy and energy ministry, saw the steel industry “at a crossroads” in 2026. She acknowledged recent calls for the relaxation of the ETS timeline but added that Austria has asked for more time because the scheme is working as intended, but the global landscape has changed.
Neyer agreed that “something has changed” with the European approach to policy. “I think the EU is trying something new, in terms of looking at whole industrial sectors and not just policy fields.”
The ETS scheme and CBAM are only starting to work together as a team, to drive the steel industry, while without a strong carbon signal there will be no hydrogen ramp-up or infrastructure in Europe, and no electrification, she warned. The carbon signal is critical for investors, she added.
“I think ETS is already driving decarbonisation strategies around the world and that is starting to reflect what the EU can trigger,” Neyer said.
However, Motyka warned about the balance of decarbonisation versus deindustrialisation.
“We have to find out what CO2 reductions were achieved through deindustrialisation from lower output, and the shutdown of plants, and which were really achieved through investment and real transformation,” he asserted.
Motyka also highlighted the ongoing geopolitical tensions, which are “a new creature we have to cope with”. Mitterdorfer agreed and noted the “very fragile” global conditions in relation to energy costs, tariffs, and logistic problems. “The challenge is that many [of the] challenges are new,” he added.
Robust protection was seen as key for maintaining competition in the sector. “We are not afraid of fair competition; what we are afraid of and are protecting against is unfair competition,” Motyka said.
“We need to get our act together, and create a strong and resilient full manufacturing [base] and protect the supply chain against unfair competition; then we can create a competitive edge,” Aardenburg concluded.
Magona gets closer to resuming activities
The sale of Italian service centre Magona in Piombino, Tuscany, is progressing, sources close to the matter tell Kallanish.
At a meeting between the authorities, unions and Trasteel chief executive Gianfranco Imperato, the company “gave very positive signs,” a source says. While a verbal agreement has been reached between Trasteel and the Greensill receiver for the sale of Magona, Trasteel is said to be proceeding with the lease of the business while the formal sale agreement is being drafted and all documents are signed.
Trasteel is said to have offered €36 million ($41.9m) over eight months from the date of signing as a lease payment to be deducted from the purchase price. Trasteel expects to begin leasing Magona from 1 July, though a second informed source believes that drafting the formal agreement may take longer and that the 1 July date is an optimistic forecast.
Trasteel has reassured stakeholders that it will secure a buying option on 40,000 tonnes of hot rolled coil to keep Magona operational in the fourth quarter, and will purchase around 4,800t of HRC for re-rolling at the facility between end of June and July.
Unions have welcomed these steps, with one union source saying the moves will give Magona “some oxygen” to cover worker salaries in June and July. Workers are currently on temporary layoff.
A further meeting with all stakeholders has been scheduled for 25 June at the Ministry of Enterprises and Made in Italy in Rome.
Trasteel was not available to comment before press deadline.
EU steel trade regime enacted into law
The European Council has formally adopted the EU’s new steel trade defence framework, which will apply from 1 July and replace the current steel safeguard measure. This aims to protect the bloc’s steel industry from persistent global overcapacity, Kallanish notes.
The European Parliament plenary voted in favour of the regulation last month.
The regulation introduces a revised tariff-rate quota (TRQ) system, including reduced import quotas and higher duties on imports exceeding those quotas. It also incorporates a “melt and pour” requirement to improve transparency and help prevent circumvention by identifying the country where steel was first melted and poured.
The framework includes a strengthened review mechanism, allowing the European Commission to assess the scope and effectiveness of the measure and propose adjustments in response to market developments and evolving global overcapacity conditions. Unused quotas may be carried over from one quarter to the next during the first year, “ensuring adequate supply for downstream industries and maintaining compatibility with the EU’s international trade obligations”, the Council says.
Global steel overcapacity is projected to reach 721 million tonnes by 2027, more than five times the annual EU steel consumption. “This overcapacity, combined with trade-restrictive measures from third countries that limit imports into their markets, has made the EU market the primary recipient of global excess steel. This has led to increasing imports, low-capacity utilisation (67% in 2024), high EU manufacturing costs, and ultimately threatens the industry’s long-term ability to invest in decarbonisation,” the Council writes in a statement.
“Steel is indispensable to Europe’s industrial base, its green transition and its security. With today’s adoption, the EU is putting in place a stronger framework to respond to global market distortions, protect fair competition and provide greater certainty for both steel producers and downstream industries,” says Michael Damianos, Minister for Energy, Commerce and Industry of Cyprus, which currently holds the six-month rotating Council presidency.
In a joint declaration accompanying the regulation, the Council, European Parliament and Commission reaffirmed their commitment to reducing economic dependencies on Russia through the gradual phase-out of Russian steel products and continued diversification of steel imports.
Meanwhile, last week, the European Commission launched a four-week melt-and-pour consultation, from 4 June to 2 July.
Downstream uncertainty hits Italian distribution
Both the long and flat steel product sectors are stagnating in Italy, with tube prices edging lower while sheet prices are holding stable, Kallanish notes.
The first quarter was distorted by some restocking among distributors due to rising prices linked to the Middle East conflict. From April, however, the distribution sector has slowed its purchases significantly, continuing to sell only small volumes. Buying throughout the value chain has been limited to immediate needs and often the bare minimum.
Some products are seeing stronger activity, sources report, particularly sections and welded tube. Tube demand is holding up but prices continue to lag behind hot rolled coil increases. Tube discounts remain stable compared to May at 41-43 points. Hot rolled sheet prices are also holding at €760-780/tonne ($885.6-908.9/t) ex-works, though lower prices have been heard in the market.
“We are working little and badly. There is no visibility; one day we sell, the next we sell nothing. The first four months of the year were fine but from May the market has really slowed downstream. Now it seems completely stuck,” a distributor tells Kallanish.
Two more distributors confirm prices for both long and flat products are mostly stable. “Mills would like to increase prices, but the market does not absorb [this], and often distributors lower their selling prices as they need to generate cash flow,” one adds.
Margins have generally improved on the back of the price increases, but volumes for both products remain absent, and no significant change is expected in the near term. Uncertainty persists downstream, with customers avoiding volume purchases and combining different grades in a single truckload. One source says stocks remain relatively high as current demand does not allow for swift depletion, adding that he will not restock at current prices but will continue to buy moderately.