Steel heavy plate markets in both Italy and Northern Europe came under further downward pressure in the week to Friday July 10, with increased competition among re-rollers in Italy ahead of the August holiday period, sources told Fastmarkets on Thursday.
Southern Europe
Italy’s plate market remained under pressure during the week, with increased competition among re-rollers for August deliveries, a producer said.
Deals were reported in the range of €710-735 ($831-860) per tonne ex-works, down by €10 per tonne from transactions heard at €720-745 per tonne ex-works on July 2.
Offers were heard at €720-740 per tonne ex-works, down from €740-750 per tonne ex-works a week earlier. Buyer bids were reported at around €700 per tonne ex-works on Thursday.
“There is a fight among re-rollers for August tonnages. Buyers are aware and bid around €700 [per tonne] exw base. We understand that the minimum prices of €710 [per tonne] exw are already confirmed by re-rollers. The pull of lower slab prices is the key factor today, plus the necessity to fill the [order] books,” the producer said.
Steel slab offers to Italy were decreasing during the week amid increased competition among suppliers. Sources also cited the reduction in EU steel import quotas for finished products, including plate, as a potential factor weighing on sentiment.
Fastmarkets’ weekly price assessment for steel slab, import, cif Italy, was $570-590 per tonne on July 9, down by $10 per tonne from $580-600 per tonne a week earlier.
Meanwhile, a trade source said quarto plate re-rollers in Southern Europe were facing “even more difficult times because demand has vanished and stockholders and end-users are only purchasing missing dimensions or grades.”
Fastmarkets’ weekly price assessment for steel domestic plate 8-40mm, exw Southern Europe was €710-735 per tonne on Thursday, down by €10 per tonne from €720-745 per tonne a week earlier.
Offers for plate imports into Southern Europe were reported in the range of €700-720 per tonne CFR during the week, including costs under the Carbon Border Adjustment Mechanism (CBAM) regulations, the same trade source said, adding that there was currently no buying interest for imported material.
As a result, Fastmarkets’ weekly price assessment for steel plate (8-40mm), import, cfr main port Southern Europe was €720-750 per tonne on Thursday, unchanged week on week.
Northern Europe
In Northern Europe, no significant trading activity was reported during the week, while mills were offering commodity-grade plate at €780-830 per tonne ex-works, sources said.
“There is simply no demand and orders are missing,” a trade source told Fastmarkets.
Higher offers were heard at €820-870 per tonne ex-works, but these were excluded from the assessment because, according to a second trade source, such levels were “not relevant for the pure commodity market.”
“Plate producers in Northern and Southern EU are searching for commodity grade orders in the third quarter, despite a dull and shrinking market,” the first trade source said.
Fastmarkets’ weekly price assessment for steel domestic plate 8-40mm, exw Northern Europe was €780-830 per tonne on Thursday, narrowing downward by €10 per tonne from €780-840 per tonne a week earlier.
