EU HRC prices fall slightly on day on wider offer levels

Domestic European hot-rolled coil prices inched lower on Oct. 8 as sources continued to cite slower spot market conditions amid wide offer levels.

“The whole market is quiet at the moment, we just need time for the new offer levels to go through,” a Germany-based steel mill source said. “Maybe [offer levels] can reduce a bit in the coming weeks, but import prices aren’t a problem for us, they’re more expensive than domestic price levels.”

The same source pointed to continued difficulty in passing costs along the value chain while discussing carbon-accounted steel premiums.

“There is no demand for green steel, nobody is willing to pay regardless of the offer levels; the downstream customers won’t pay for it,” the source said.

Platts assessed Northwest European hot-rolled coil carbon accounted at Eur615/mt ex-works Ruhr Oct. 8, down Eur15/mt on the day.

Similarly, a service center source said mill offer levels in the market were rising, and confirmed the offers heard Eur590/mt earlier in the week.

“Mills will push prices up, but demand is very poor,” the service center source said. “You cannot convince customers to buy at these levels.”

Platts assessed Northwest European HRC at Eur550/mt ex-works Ruhr on Oct. 8, down Eur5/mt on the day. Offers were reported at Eur590/mt delivered Germany.

Meanwhile, Platts assessed domestic HRC in Southern Europe at Eur540/mt ex-works Italy, also stable on the day.

Platts assessed imported HRC in Northwest Europe at Eur525/mt CIF Antwerp, stable on the day, and assessed imported HRC in Southern Europe at Eur525/mt CIF Italy, stable on the day.

Charles Thompson | Devbrat Saha

spglobal.com