Despite ongoing subdued consumption, sales in July are reported to have improved compared to the quiet month of June. During the second quarter, some sellers experienced a decrease in volumes by approximately 10-15% compared to the previous year. However, there has been a slight recovery in demand reported this month. Agents and sales executives are confident in their ability to achieve their targets.
Buyers are making regular purchases, but values have decreased in July. Italian mills will be taking longer breaks during the summer months, following production stoppages in July.
Imported material from North Africa does not offer a significant cost advantage compared to domestic options. Drawing-quality rod is being sold at €610-630/t delivered for domestic product, although material from stock that can be delivered quickly is still marketed for €640/t delivered.
Meanwhile, northern European wire rod prices were stable last week amid a quiet market in Europe. The stable trend from past months continues, despite the push from suppliers to increase quotes and the summer construction season being in full swing. Domestic transaction prices for drawing-quality wire rod are at €650/t ex-works and mesh-grade wire rod is at €630/t (see Kallanish passim).
Natalia Capra France
