Italian rebar contract prices and producer quotations are on the rise. Some steelmakers have suspended sales, while others are now quoting an additional €20/tonne ($23/t) compared to last week.
The first round of increases took place in mid-July, when producers were seeking around €270/t base ex-works. A second round followed last week, pushing quotes to €290/t base ex-works. This week, steelmakers are quoting even higher at €300-310/t base ex-works.
This surge is driven by producers’ efforts to recover margins after prices have continued to fall since May. The steep hikes are also due to a severe material shortage that is emerging in the Italian market.
Rebar in coil is hard to find as well diameters from 12mm to 20mm to 6 metres. One steelmaker is reportedly out of stock, and others are facing similar situations due to low production levels in July combined with strong sales and lower prices in July.
Buyers are now purchasing to replenish their inventories ahead of the planned production stoppages in August. Most mills are scheduled to be idled between 8–24 August, Kallanish notes.
Current base transaction levels for rebar now range are at €280-300/t base ex-works, reflecting an average increase of €20/t compared to last week. Effective rebar prices, including size extras averaging €260-270/t, are reported at €540-560/t ex-works.
Domestic mesh prices are also trending up, averaging at €400/t ex-works, excluding transport and size extras which add approximately €300/t. Producers are asking for €410/t base ex-works.
Natalia Capra France
