Domestic European hot-rolled coil prices remained largely stable Jan. 8 as participants grappled with subdued demand and elevated inventory levels. The market’s cautious sentiment is reflected in the mixed pricing signals and the ongoing hesitancy among buyers.
A trader source observed a lack of engagement in the HRC market, where offers around Eur630/mt ex-works Ruhr have been reported, though these figures remained largely unworkable across the broader market.
“The market is constrained by weak demand and substantial inventories, which are dampening transactional activity,” an Austrian source said.
A Germany-based distributor source expressed skepticism regarding the current HRC offer levels from domestic mills, suggesting that realistic, workable prices are closer to Eur540-550/mt, influenced by the persistent low demand.
Platts assessed North European HRC prices at Eur560/mt ex-works Ruhr Jan. 7, stable on the day. Similarly, Southern European domestic HRC prices held steady at Eur560/mt ex-works Italy.
Interest in imports remained weak, with the source noting that import offers are not generating significant interest, as buyers remain cautious about committing to new bookings.
Imported HRC prices in Northwest Europe increased Jan. 8 to Eur535/mt CIF Antwerp, while prices in Southern Europe remained stable on the day at Eur530/mt CIF Italy.
Discussing the market interest in carbon-accounted steel, participants continued to report a wider range of offer levels in the market, depending on carbon content. A range of offers for carbon-accounted HRC was heard on the day, with the most competitive at Eur60-70/mt, CO2e content below 0.8 mt, scopes 1-3, for mass-balanced material.
Higher offers were also heard in the market at Eur120/mt with CO2e content below 0.8 mt across scopes 1-3 and at Eur300/mt for CO2e content around 0 mt across scopes 1-2, but using mass-balancing approach, However, sources remained skeptical that these price levels were workable for the wider market, instead citing that due to both higher prices as a result of the lower carbon content, the material would only attract niche buyers or be required for special projects applications.
Platts assessed Northwest European hot-rolled coil carbon-accounted at Eur620/mt ex-works Ruhr Jan. 8, stable day on day.
