Lower energy costs and more favorable weather conditions supported more bullish sentiment in the Italian rebar market. Despite improved sentiment, mills were unable to establish higher offers in the market.
Reduced energy costs and stable scrap prices since the beginning of April contributed to a resistance to significant increases, Fastmarkets heard.
As a result, Fastmarkets’ price assessment for steel reinforcing bar (rebar) domestic, exw Italy was €590-630 ($650-694) per tonne on Wednesday, narrowing from €585-640 per tonne on April 2.
First-hand deals were reported across the Italian rebar market at €590-620 per tonne ex-works.
Producers’ assessments were reported at €590-620 per tonne ex-works.
Sources reported higher mill offers of €620-630 per tonne ex-works, but the market had not yet entirely accepted these prices.
Other sources in the market indicated higher assessments of €610-650 per tonne ex-works, but prices above €630 per tonne were not considered workable by the wider market.
“Demand has been good last week and the beginning of this week, but towards the end of the week, demand has slowed down,” a buyer source told Fastmarkets.
“The contracts closed at the beginning of April by the major fabricators, and prices were at €610-620 per tonne ex-works. This week, for new orders, mills are seeking €620-630 per tonne ex-works,” a second buyer source told Fastmarkets.
Turkish import scrap prices have been stable since the beginning of April amid limited finished steel sales in the country’s domestic and export markets.
Turkish mills were reported to be struggling with weak finished steel sales and downward pressure on prices due to recently announced tariffs.
As a result, Fastmarkets’ calculation of its daily index for steel scrap, HMS 1&2 (80:20 mix), North Europe origin, cfr Turkey was $375.05 per tonne on Wednesday, stable week on week.
Meanwhile, small-tonnage rebar exports were reported from Southern Europe to Western Europe at €590-600 per tonne FOB to France and Switzerland. Rebar exports to Greece for small tonnages were reported at €620 per tonne FOB.
Fastmarkets’ price assessment for steel reinforcing bar (rebar), domestic, delivered, Spain was €620-640 per tonne on Wednesday, stable week on week.
Fastmarkets’ price assessment for steel wire rod (mesh quality), domestic, delivered Southern Europe was €590-620 per tonne on Wednesday, widening downward by €15 per tonne from €605-620 per tonne on April 2.
Most market participants continued to report prices of €605-620 per tonne, but some sources heard lower offers available in the market for larger volumes.
In Southern Europe, wire rod imports from Turkey were reported as low as €560 per tonne CFR as a result of duties that customers would have to pay.
Turkey’s import quota was reportedly filled in its first day, meaning that importers will now have to pay duties on any imported wire rod from Turkey.
Import offers from lower-risk countries to Southern Europe were reported at €580-590 per tonne CFR.
