Sources report that Italian merchant bar prices are showing a slight increase after steelmakers implemented a €30/tonne ($34) rise for July, Kallanish notes.
According to multiple buyers and sellers, the market continues to be sluggish. Despite a few increases in contract prices, sales volumes remain low. Merchant bar values currently range from €290-310/t base ex-works or delivered, with slight variations depending on the contract. However, material from other EU countries is priced slightly lower, at around €20/t less. With the inclusion of size extras, prices are currently fluctuating at around €700-730/t.
Section producers have also decided to raise prices by €20/t for July contracts. Beams are in demand compared to other long products, and supply is limited. According to sources, prices for the first category are expected to be at around €770-790/t delivered, which includes a €20/t increase. Some sellers agree this price is effective, but it needs to be consolidated.
Merchant bar and section producers are extending their summer shutdowns this year. Certain facilities are currently idle, while others will temporarily halt operations for approximately 5 weeks before resuming production in early September. Despite July’s dismal market start, there appears to be considerable demand for section sales because of the low stock levels across the value chain and low supply due to stoppages.
Natalia Capra France