EU steel sections prices up as mills hold firm

European domestic steel sections prices increased on the week to Jan. 19, as mills maintained elevated levels amid high costs.

S&P Global Platts’ European medium sections price (category 1, S235 JR) was assessed at Eur1,090/mt delivered Jan. 19, up Eur20/mt on the week.

One distributor source in the Benelux region highlighted that continuously high energy costs in the region were pushing prices up with mills increasing offers for steel long products and trying to maintain elevated workable levels. “All mills are complaining about energy prices, saying that they have to account for them now while determining sales prices,” he told Platts.

The source put a tradable value for category 1 medium sections at Eur1,090/mt delivered Benelux.

One European mill source also put a tradable value for category 1 medium sections at Eur1,090/mt delivered.

“Demand is better than last week as it was the first week after holidays, so demand was slow people were still returning from holidays,” he told Platts.

“Scrap prices went down a bit in Italy but then recovered immediately as international scrap prices in Turkey also picked up,” he told Platts. “In addition, energy prices are still high. But it is too early to say if mills will be increasing prices again in the near-term, picture will be clearer next week,” he said.

Platts assessment for Southern European shredded scrap was at Eur447.50/mt delivered to the mill for January contracts on Jan. 10, down slightly from Eur452.50/mt delivered in December. Workable levels were largely heard between Eur440-450/mt delivered to the mill in Italy and Spain. S&P Global Platts assessed Turkish imports of premium heavy melting scrap 1/2 (80:20) Jan. 19 at $469.75/mt CFR, unchanged on the day.

— Rabia Arif, Staff