Domestic rebar and wire rod prices in Europe declined in the week to Wednesday, September 24, mainly due to a general lack of demand, but also because of falling scrap prices and pressure from imports, sources told Fastmarkets.
“In September, the market did not come back the way it should,” a producer source from Germany told Fastmarkets, adding that the ongoing weakening of scrap prices was adding to the decline in the long steel segment.
But he said the workable price for big tonnages was around €600 ($705.75) per tonne delivered in Germany and up to €630 per tonne delivered for small tonnages.
A source from Austria reported rebar from local and German producers was available at around €615 per tonne delivered.
In France, meanwhile, rebar from Italy was available at €605-615 per tonne delivered, according to sources.
Fastmarkets’ weekly price assessment for steel reinforcing bar (rebar) domestic, delivered Northern Europe widened down to €600-630 per tonne on September 24 from €630 per tonne on September 17.
And Fastmarkets’ price assessment for steel wire rod (mesh quality) domestic, delivered Northern Europe, was €575-585 per tonne on Thursday, down from €590-600 per tonne on September 17.
In Italy domestic rebar prices fell by €10-20 per tonne over the week driven by stiff competition from imports, lower scrap costs and weak demand caused by unfavorable weather.
In the north of the country, which traditionally forms the lower end of the range due to high concentration of mills, rebar prices varied around €520-540 per tonne ex-works in the week to Wednesday, down from €530-550 per tonne ex-works a week earlier.
In the south, rebar was available at €550-560 per tonne ex-works, compared with €570-580 per tonne ex-works last week.
“It’s been raining for days,” a local processor said, referring to the impact on construction activity.
“Demand remains rather weak and scrap prices have fallen by €10-15 per tonne, while energy costs have fallen by a few percentage points,” a second Italian processor told Fastmarkets.
“This trend is reflected in the rather stagnant rebar market, which is in a downward phase, with buyers preferring to delay their purchases,” the processor added.
Fastmarkets’ weekly price assessment for steel reinforcing bar (rebar), ex-works Italy, was €520-560 per tonne on September 24, down from €530-580 per tonne on September 17.
Fastmarkets price assessment for steel wire rod (mesh quality) domestic, delivered Southern Europe, which includes Italian and Spanish prices fell to €580-600 per tonne on September 24, down by by €10 per tonne from €590-610 per tonne on September 17.
Fastmarkets’ price assessment for steel reinforcing bar (rebar) domestic, delivered Spain remained unchanged at €640-645 per tonne on September 24.
