French long and flat product prices are softening by around €15-20/tonne ($17.1-22.0/t) in large contracts compared to last month, amid the impact of limited downstream demand, Kallanish hears.
In the flat products segment, black hot rolled sheet prices are falling by around €20/t on-month to €760-770/t delivered, in line with weak coil sales across Europe.
In long products, downstream sentiment is negative amid limited demand, high costs and pressure on margins. Domestic merchant bar is under pressure from Spanish producers cutting prices, with current French levels at €320-330/t delivered, excluding size extras of around €410/t. Section prices are holding stable for now, supported by firmer demand, with first-category sections at €810-820/t delivered.
Rebar prices have edged down from last month’s peak of €720/t delivered to around €690-700/t, with activity dragging due to a subdued construction sector and weak demand (see Kallanish 26 June).
Last week’s activity was further hampered by extreme heat conditions in France, with both mills and distributors confirming the slowdown caused by the heatwave.
