Steel mills in Northern Europe were trying to keep spot prices high ahead of negotiations with the automotive industry for the second half of 2024, Fastmarkets understands. Therefore, HRC producers were reluctant to grand discounts despite the slow demand.
Northern European mills continued to aim for €660 ($717) per tonne ex-works for July-delivery HRC, while buyer estimates of the tradable level were no higher than €640 per tonne ex-works.
Lead times were five to six weeks, according to Fastmarkets’ sources.
Fastmarkets calculated its daily steel hot-rolled coil index domestic, exw Northern Europe, at €638.33 per tonne on Monday, unchanged from May 17.
The index was down by €1.67 per tonne week on week but up by €12.83 per tonne month on month.
Fastmarkets’ corresponding daily steel hot-rolled coil index domestic, exw Italy, was calculated at €633.33 per tonne on Monday, up by €0.41 per tonne from €632.92 per tonne on May 17.
The index was down by €1.67 per tonne week on week but up by €13.33 per tonne month on month.
Suppliers in Italy continued to offer HRC in the range of €660-670 per tonne delivered, equivalent to €650-660 per tonne ex-works.
An integrated mill in Italy was heard to already be offering July-delivery HRC, but according to buyer sources, some tonnages for the end of June might still be available.
Fastmarkets sources estimated the tradeable market level to be in the range of €620-640 per tonne ex-works.
But trading in Italy was also quiet at the beginning of the week, and no major deals were heard in the market, Fastmarkets understands.
Import offers from Vietnam were heard at €600-610 per tonne CFR Italy.
India was heard offering HRC at $650-660 per tonne CFR Italy.
These prices were similar to the levels offered by the same destinations at the end of last week. But Italian buyers then estimated the tradeable market level at €560-570 per tonne CFR.
