Domestic prices for hot-rolled coil in Europe have been stable on April 25 and steelmakers are expected to push offers up soon.
Domestic prices have been supported by combination of restocking of distributors and lack of competitive import offers after the change in Euro to the US dollar exchange rate. In addition, long lead times and expected changes in safeguard measures also made buyers hold back from overseas coil purchases.
These factors put an end to the downtrend that had been settled in the European market since the end of January.
Despite limited real demand, the mills are expected to increase offers soon, sources said.
“The mills plan to hold prices at current rates and maybe push for the increase as there is no competition with import,” a German service-center source said. “But end-user demand remains low.”
“Would not be surprised if mills try to lift offers if they have managed to make some sales at these lower levels,” a trader said. “Have to see if the market can absorb a price increase though.”
Platts assessed domestic prices for hot-rolled coil in Northwest Europe stable on day at Eur625/mt ex-works Ruhr on April 25.
Deals and tradable values were reported at Eur620-630/mt ex-works Ruhr.
Offers have been reported at Eur620-630/mt ex-works Ruhr and at Eur610-615/mt ex-works Ruhr for big lots.
Platts assessed prices for imported hot-rolled coil in Northwest Europe at Eur610/mt CIF Antwerp on April 25, stable on the day.
Offers of the material from Asia have been heard at Eur600-630/mt CIF Antwerp.
