European domestic hot-rolled coil (HRC) prices increased in the week to 28 August as both buyers and sellers returned to the market after the holidays.
Apart from seasonal demand recovery, the price rise was driven by limited availability – European buyers had to seek larger volumes in the domestic market following the introduction of tougher new tariff-rated import quotas in July and the Carbon Border Adjustment Mechanism (CBAM). Both policies, combined with the effects of traditional trade measures, made imports riskier and more costly, cutting access to overseas steel.
“Prices for imported steel are higher than those for European products. And prices that seem lower on a CIF basis turn out to be very risky if you account for CBAM and other duties,” a Benelux service center said.
Logistics and technical issues at European plants have further supported bullish sentiment in the market.
Market participants estimated achievable prices for HRC in Northwest Europe at EUR730–760/t ex-works; a few transactions have been reported within the range. Some market sources, however, believe that prices of EUR730/t ex-works are not available to average buyers and that realistic prices are at EUR740/t ex-works at a minimum.
Import offers in the region have been limited, with HRC prices heard at EUR 740/t DDP Antwerp.
Activity has not fully recovered after the holiday lull, but trading activity is expected to pick up at the beginning of September. Market participants expect prices to reach EUR750–760/t ex-works by the end of next month, and some believe prices will reach EUR800/t ex-works by the end of the year.
The region’s steelmakers have been offering November–December production HRC, and some have already sold out 2026 downstream products, notably cold-rolled coil (CRC).
Several sources reported delivery delays from German mills due to logistics disruptions and production cuts caused by low water levels on the River Rhine.
Concerns are growing among buyers that the European production increase resulting from the restart of blast furnaces (BFs) will not be enough to substitute for cut import volumes caused by regulatory changes.
This year, ArcelorMittal resumed operations at three of its BFs, and Germany’s Hüttenwerke Krupp Mannesmann (HKM) is preparing to restart a furnace.
However, in southern Europe, a region traditionally more dependent on imports, domestic supply could be reduced further, and some volumes from resumed capacities may be redirected there. On 27 July, the Milan Court of Appeal ordered Acciaierie d’Italia (ADI) to shut down operations in the hot section of its Taranto steel plant within 90 days. The extraordinary administration of the plant disclosed plans to appeal to the Cassation Court, but the order remains in place at the end of August.
New potential buyers of ADI emerged in the middle of the month: the Italian steelmakers’ association, Federacciai, submitted a letter of interest for the Taranto steelworks on behalf of a new consortium of 14 companies: Acciaierie Bertoli Safau (ABS), Arvedi, Acciaierie Venete, Advanced Steel Solutions (Asonext group), Beltrame, Alfa Acciai, Compagnia Siderurgica Italiana, Duferco Travi e Profilati, Feralpi, Valsabbia, Lucchini RS, Marcegaglia, ORI Martin, and Rubiera Special Steel.
While the steelmaker has been operating only one furnace and has not been active in the spot market, the absence of its material would hit major buyers – re-rollers and pipe makers – who use ADI’s HRC as feedstock.
Italian producers have not returned to the market with new HRC offers yet, but market participants estimated that prices below EUR720/t ex-works would be rejected by sellers.
Import offers for material from Asia have been heard at EUR720–740/t DDP Italian ports.
Green Steel Market
Activity in the European green steel segment has remained muted, with buyers more focused on rising prices for traditional steel.
Workable premiums for green HRC have been reported at EUR100–150/t. But spot buyers have shown interest in low-CO2 steel mainly as part of back-to-back deals with end consumers.
Sales directly to end users, such as in the automotive and construction sectors, remain the main drivers of green steel demand.
| Weekly European steel coil | |||||
| EUR/t | Term | 28-Aug-26 | Change | ||
| Weekly Northwest Europe steel coil | |||||
| Northwest Europe ex-works HRC | EX-WORKS | 740.00 | 15.00 | ||
| Northwest Europe ex-works CRC | EX-WORKS | 835.00 | 0.00 | ||
| Northwest Europe ex-works HDG | EX-WORKS | 830.00 | 0.00 | ||
| Northwest Europe CIF HRC | CIF | 585.00 | 0.00 | ||
| Northwest Europe DDP port HRC | DDP Port | 740.00 | 40.00 | ||
| Weekly South Europe steel coil | |||||
| Italy ex-works HRC | EX-WORKS | 720.00 | 15.00 | ||
| South Europe CIF HRC | CIF | 580.00 | 0.00 | ||
| South Europe DDP port HRC | DDP Port | 720.00 | 20.00 | ||
| South Europe CIF CRC | CIF | 680.00 | 0.00 | ||
| South Europe DDP port CRC | DDP Port | 765.00 | 0.00 | ||
| Show less… | |||||
| Source: McCloskey by OPIS. | © 2026 Dow Jones Energy Limited. | ||||
| Weekly green steel | |||
| EUR/t | Term | 28-Aug-26 | Change |
| Green Northwest Europe HRC premium (scopes 1-3 CO2 under 0.8t) | 100.00 | 0.00 | |
| Green Northwest Europe ex-works HRC (scopes 1-3) | EX-WORKS | 840.00 | 15.00 |
| Green HRC premium (scopes 1-2 CO2 under 0.5t) | 100.00 | 0.00 | |
| Green Northwest Europe ex-works HRC (scopes 1-2) | EX-WORKS | 840.00 | 15.00 |
| Green HRC reduced carbon price (scopes 1-3) | 72.25 | 7.26 | |
| Source: McCloskey by OPIS. | © 2026 Dow Jones Energy Limited. | ||
Author: Benjamin Steven & Maria Tanatar
