European flat steel prices increased in the week to Wednesday February 18 amid heightened pressure on imports from new regulations, although higher offers are still not achieved in the market, Fastmarkets heard.
According to sources, the domestic market has seen some improvement since the introduction of the EU’s Carbon Border Adjustment Mechanism (CBAM) earlier this year, which has affected buyers’ appetite for imported products.
“There is low interest in imports because they have become too risky,” a distributor source said, adding that there is a “big focus” on domestic production.
With limited supply of imported materials due to regulatory changes, and increasing trade risks, domestic producers have found themselves in a better position to push for higher offers, Fastmarkets understands.
Northern Europe
In Northern Europe, mills were heard offering April delivery CRC at around €795-830 per tonne ex-works. However, these levels were yet to be reflected in transactions.
Estimates of tradable market levels were heard hovering €770-780 per tonne ex-works, compared with €760-770 per tonne ex-works during the previous assessment period.
Fastmarkets’ weekly price assessment for steel cold-rolled coil domestic, exw Northern Europe was €770-780 per tonne on Wednesday, rising from €760-770 per tonne the previous week.
According to a market source, mills are looking to achieve levels closer to €800 per tonne for CRC, which they said are “absolutely not workable” as buyers are not in a hurry to make “big decisions”.
Meanwhile, CRC import prices for Northern Europe were stable for CFR, while DDP prices edged up slightly.
Fastmarkets’ weekly price assessment for steel cold-rolled coil, import, cfr main port Northern Europe was stable at €630-660 per tonne on Wednesday, unchanged week on week.
Fastmarkets’ weekly price assessment for steel cold-rolled coil, import, ddp Northern Europe was €730-770 per tonne ex-works on Wednesday, widening up from €730-760 per tonne the previous week.
The lower end of the assessment was pegged on offers from Brazil at €730 per tonne DDP, while the upper end represents offers from China and South Korea, heard hovering €760-770 per tonne DDP.
No new trading activity was reported during the assessment period.
On the other hand, domestic HDG coil prices also increased in Northern Europe.
Fastmarkets’ weekly price assessment for steel hot-dipped galvanized coil domestic, exw Northern Europe was €770-780 per tonne on Wednesday, rising from €760-770 per tonne the previous week.
Estimates of workable levels were heard hovering €770-780 per tonne ex-works, compared with €760-770 per tonne ex-works the previous week.
Higher offers were also reported at €790-820 per tonne ex-works, but no transaction was heard at those levels.
Regarding HDG import prices in Northern Europe, DDP levels narrowed in the week to Wednesday, while CFR levels remained stable.
Fastmarkets, weekly price assessment for steel hot-dipped galvanized coil import, ddp Northern Europe was €760-770 per tonne on Wednesady, narrowing up from €740-770 per tonne the previous week.
The lower end of the assessment is pegged to an offer from Vietnam heard at €760 per tonne DDP, while offers from other Asian origins were also reported within the range of €760-770 per tonne DDP.
Fastmarkets’ weekly price assessment for steel hot-dipped galvanized coil import, cfr main port Northern Europe was stable at €650-700 per tonne on Wednesday.
Sources attributed the lack of offers for imported HDG to complications with CBAM and safeguard measures.
Southern Europe
Domestic CRC and HDG prices in Southern Europe were mostly stable in the week to Wednesday, despite reports of higher offers in the market.
For domestic CRC, offers were heard hovering €800-820 per tonne ex-works, but these levels had not been yet reflected in transactions.
An offer for May-delivery CRC was also heard at €865 per tonne ex-works but was discarded as it fell outside Fastmarkets’ specified timeframe for evaluation.
Fastmarkets’ weekly price assessment for steel cold-rolled coil domestic, exw Southern Europe was €770-780 per tonne ex-works, unchanged week on week.
The lower end of the assessment was pegged to a deal heard at €770 per tonne ex-works, while estimates of workable levels were reported around €780 per tonne ex-works.
Meanwhile, Fastmarkets’ weekly price assessment for steel hot-dipped galvanized coil domestic, exw Southern Europe was €775-780 per tonne on Wednesday, narrowing up from €770-780 per tonne the previous week.
Estimates of workable prices were heard around €775-780 per tonne ex-works.
Higher offers were also reported within the range of €790-820 per tonne ex-works, but no transaction was reported happening at those levels.
An offer for May-delivery HDG was also heard at €855 per tonne ex-works but was discarded as it fell outside Fastmarkets’ specified timeframe for evaluation.
Regarding imported CRC to Southern Europe, DDP levels increased in the week to Wednesday, while CFR levels were stable.
Fastmarkets’ weekly price assessment for steel cold-rolled coil import, ddp Southern Europe was €730-780 per tonne on Wednesday, compared with €710-750 per tonne the previous week.
The lower end of the assessment matches offers from Brazil heard at €730-740 per tonne DDP, while the upper end of the assessment matches offers from South Korea heard at €780 per tonne ex-works.
Fastmarkets’ weekly price assessment for steel cold-rolled coil import, cfr main port Southern Europe was €620-650 per tonne on Wednesday, unchanged week on week.
Fastmarkets’ weekly price assessment for steel hot-dipped galvanized coil import, ddp Southern Europe was €750-770 per tonne on Wednesday, narrowing up from €740-770 per tonne the previous week.
The lower end of the assessment matches an offer from Taiwan heard around €750-770 per tonne DDP, while offers from other Asian origins were heard within the range of €760-770 per tonne DDP.
A bid was also reported at €750 per tonne DDP.
On the other hand, Fastmarkets’ weekly price assessment for steel hot-dipped galvanized coil import, cfr main port Southern Europe was stable at €660-700 per tonne on Wednesday.
