European HRC prices flat to slightly lower amid bearish sentiment

European hot-rolled coil prices were largely flat after a holiday break, with sentiment remaining bearish amid insufficient demand, sources told Fastmarkets on Monday June 2.

On Monday, the HRC market was quiet in Northern Europe, following public holidays in the region in the week to Friday May 30.

Offers for July-delivery HRC from integrated mill in the region were heard at €640-650 ($731-742) per tonne ex-works or delivered.

At the same time, buyer’s estimations of tradable values were reported at €600-630 per tonne ex-works on Monday.

Mill sources argued that lower end of the range was rather “a wishful thinking from the buyers” then a realistic price level.

Due to offer/bid mismatch and downbeat expectations among buyers, trading was minimal in the region.

“End users and stockists are not ruling out the possibility that [HRC] prices might go further down and [many are trying] to clear their stocks before the vacation period starts,” a German buyer said.

And so far, no progress has been made in negotiations for long-term contracts with end users for the second half of 2025.

“EU mills asked for higher prices compared with first-half 2025 contracts — around €800 per tonne. But spot prices [for HRC] started falling in May, so naturally original equipment manufacturers (OEMs) are not accepting the asked offer price [for long-term contracts],” a source familiar with the matter said.

As a result, Fastmarkets’ calculation of the daily steel hot-rolled coil index, domestic, exw Northern Europe was €627.50 per tonne on Monday, down slightly by €1.25 per tonne compared with €628.75 per tonne on Friday.

The index was down by €5.00 per tonne week on week and by €27.50 per tonne month on month.

Meanwhile, in Italy, Fastmarkets’ daily steel hot-rolled coil index, domestic, exw Italy was calculated at €598.75 per tonne on Monday, unchanged since Friday.

The Italian index was down by €2.50 per tonne week on week and by €24.38 per tonne month on month.

The Italian market was inactive due to celebration of Republic day on Monday.

Buyers estimations of achievable prices were heard at €590-600 per tonne ex-works on Friday, while offers were heard at €620 per tonne ex-works from one integrated supplier.

Import HRC offers to Europe were stable on Monday.

Buying interest for imported coil was limited, despite a wide gap with domestic prices. Safeguards-related risks and looming CBAM were tempering buyers’ appetite for overseas bookings.

“Not the best times to book import [HRC] — you never know how much it will cost you in the end,” a buyer source said.

Indonesia continued to offer the lowest prices, at €520 per tonne CFR.

Turkey-origin coil was offered at an average price of €550 per tonne duty paid, while one supplier with lower duties was heard offering €540-545 per tonne, duty paid.

HRC from India and Thailand was on offer for €560-570 per tonne CFR to Italy.

Published by: Julia Bolotova