French rebar deal values are increasing slightly compared to the beginning of the month following the price hike move by some European producers.
Buyers confirm that values have hiked by some €20/tonne ($21) and may continue to rise. The contracts implemented however continue to be only for small volumes of one or two truckloads. Consumption from the construction sector remains limited and buyers are refusing to commit to purchases.
One large buyer says the downward market trend in all flat and long products will persist, adding that “we do not see the end of this”. Buyers are facing squeezed margins and no visibility, which is being exacerbated by the weaker German economy.
Rebar market conditions are difficult, with mesh, beams and wire rod also suffering. One source forecasts that 2024 will be no better for the construction and steel sectors. As French rebar remains pricy, some sources say they prefer to buy cheaper Italian and Spanish material.
Earlier this month, some steelmakers in France, Spain, Germany and Italy pushed up rebar prices by an average of €50/t compared to early September, as prices were near cost levels. In Italy, producers are again stopping sales (see separate Kallanish story).
French rebar prices are hovering between €610-630/t delivered on average, sources suggest.
Natalia Capra France
