This week, the Italian long steel market has continued to experience upward pressure driven by rising energy costs. However, this pressure has not been translated into any actual sales momentum, let alone an increase in raw material prices. The current signals therefore point to a rather lackluster market situation, which does not appear likely to improve during November.
In the rebar segment, the few orders concluded have been closed at around €480/mt ex-works base (€740/mt ex-works including regular extras), compared to producers’ requests at €510/mt ex-works base (€770/mt ex-works including regular extras). However, according to sources, although prices have reached a good level, “They are not supported by incoming order volumes, which are significantly lower than production volumes,” as one market source commented.
Some producers are slightly more optimistic about demand in November compared to October. Nevertheless, the situation currently emerging in the Italian market is far from encouraging. As previously reported by SteelOrbis, Italian steel groups are considering slowing down or halting production at some plants in November, as gas and electricity costs have reached peak levels, forcing them to revise their production rates, particularly during peak consumption hours. The PUN Index GME stood at €277.64/MWh on November 5, averaging €277.13/MWh since the beginning of the month, compared to €230.82/MWh in October and €117.09/MWh in November 2025.
Following several months of stability or slight upward adjustments, Italian domestic wire rod prices could reach, according to initial estimates, €700-715/mt delivered for drawing quality and €675-690/mt delivered for mesh quality, compared to respective average ranges of €675-680/mt delivered and €660-670/mt delivered in October. If these prices materialize, this would represent an increase of €25/mt at the lower end and €35/mt at the upper end for drawing-quality wire rod, and an increase of €15-20/mt for mesh-quality wire rod. However, the market’s response remains tepid for the time being.
“The export market is no longer sufficient. We cannot operate at the same levels as in the domestic market and, due to rising costs, we can no longer sustain sales at those prices,” one source commented, adding that export sales volumes have consequently also declined. The latest indications currently put Italian rebar export price requests at around €620/mt FOB, up by €10-20/mt week on week, whereas no wire rod offers have been reported.
