Northern European wire rod prices remain stable

Northern European wire rod prices have remained flat this week amid low demand and a quiet market, sources say. Most participants hope for new orders soon.

“There is practically no movement and demand is very weak,” a trader from the Netherlands tells Kallanish.

Domestic transaction prices for drawing-quality wire rod are at €720/tonne ($795/t) ex-works and mesh-grade wire rod is at €740/t, sources say.

Producers are asking for €740/t ex-works, on average, for mesh-quality rod.

“The pressure is getting harder and European mills will have to decrease price offers to get new orders for wire rod,” another participant in the market notes.

Offers are heard from outside the EU at €670-680/t cfr Antwerp, with small tonnages booked, but they are not having a large impact on the local market, sources say.

European scrap values were stable in April, but expectations for the next month are that prices will decrease amid low demand.

German prices for old thick scrap sort 3 are at €390/t, while new scrap sort 2/8 is at €385/t. E40 shredded scrap was at €395/t. In Austria, scrap prices for old thick scrap sort 3 were at €400/t and new scrap sort 2/8 at €390/t.

The Italian wire rod market also continues to stagnate and prices are at €670-690/t ex-works for drawing-quality material.

Svetoslav Abrossimov Bulgaria