Italian CRC, HDG contracts surpass €1,000

The escalation in cold rolled and hot-dip galvanised coil prices in Italy is continuing. Contracts are increasing again by as much as €50/tonne ($59/t) on average on-week on account of serious supply shortages from domestic producers and on the import market.

Most coil makers are not quoting this week and continue to allocate a limited amount of material for high-price sales and for certain customers, Kallanish notes.

Domestic CRC is in extremely short supply in Italy, while Asian producers have allocated very little material this month for shipment to the country. CRC imports were last offered at €1,100/t cfr, but this batch from traders was sold fast.

Offers of limited material from India and Taiwan are reported at €1,060-1,080 cfr. However, the new import offers are also expected to increase, reaching €1,100/t cfr for delivery in August, sources suggest. HDG is also very hard to find on the import and domestic markets.

Contracts for local material have gone through the level of €1,000/t base ex-works. CRC transactions are reported at €980-1,030/t base ex-works, while HDG hovers at €1,000-1,050/t base ex-works, sources suggest.

Producers’ lead times stretch until September for certain qualities, and thinner grades “are impossible to find”, a source comments. ArcelorMittal is meanwhile said to be increasing its prices again this week. Hot rolled coil now starts for southern Europe at €920/t, while CRC is priced at €1,040/t base ex-works and the company is quoting €1,075/t for HDG.

Natalia Capra France