Prices were still under pressure due to oversupply and low demand from all the main steel-consuming sectors, Fastmarkets understands.
Mills in Northern Europe were heard offering HRC at €600 ($663) per tonne ex-works, but producers were willing to give discounts on bigger volumes, sources said.
Buyers estimated the workable market price at €580-600 per tonne ex-works.
Fastmarkets calculated its daily steel hot-rolled coil index, domestic, exw Northern Europe at €590.00 ($651.70) per tonne on Monday, down by €1.25 per tonne from €591.25 on August 30.
The Northern Europe index was down by €11.83 per tonne week on week and by €30.50 per tonne month on month.
“The European HRC market is currently quiet, almost dead,” a buyer source told Fastmarkets, adding that the market has not been this weak for years.
The combination of oversupply, soft demand and low import prices kept the downward pressure on local prices for HRC, a second buyer source said.
According to this source, consumption by the automotive sector was moderate, while demand from the construction sector was weak.
“Both buyers and sellers are still cautious,” a third buyer source told Fastmarkets.
Expectations of future developments in the market remained mixed. Some buyers expected that HRC prices would decrease further. Most producers, however, thought that prices had already hit rock-bottom and would stabilize soon, supported by some restocking.
In terms of imports, offers of Vietnamese HRC to Northern Europe were heard at €560 per tonne CFR.
HRC from China was offered to Northern Europe at €540 per tonne CFR, including anti-dumping duty.
Meanwhile, Fastmarkets’ daily steel hot-rolled coil index, domestic, exw Italy, was €590.00 per tonne on Monday, similarly down by €1.25 per tonne from €591.25 per tonne on the preceding Friday.
The index was down by €10.00 per tonne week on week and by €30.63 per tonne month on month.
Trading in Italy was similarly quiet, with the market restarting only slowly after the long summer break in August.
An offer from one domestic supplier was reported at €610-620 per tonne CPT (€600-610 per tonne ex-works).
But buyers estimated the tradeable market price at €580-600 per tonne ex-works.
Import offers of HRC to Italy remained scarce.
Published by: Darina Kahramanova