Polish mills increased their offers of rebar to 2,950 Polish zloty ($738) per tonne CPT this week, the equivalent of 2,920 zloty per tonne ex-works, sources told Fastmarkets.
Last week, rebar was offered mainly at 2,900 zloty per tonne CPT, equivalent to 2,880 zloty per tonne ex-works. These offers were also available in the market this week, and they were estimated by Fastmarkets’ sources to be tradable.
But buyers were reluctant to accept new prices, sources said, with no major deals heard in the market.
Fastmarkets’ weekly price assessment for steel reinforcing bar (rebar), domestic, ex-works Poland was 2,880 zloty per tonne on Friday, narrowing from 2,870-2,890 zloty per tonne on January 26.
“The construction sector is about to begin [activity] in the March-April period, and demand will probably improve, but so far, it is rather slow,” a buyer source told Fastmarkets.
“Demand is rather average; the clients are in a wait-and-see mode,” a trader source said.
There were not many transactions this week, a distributor source said.
On the secondary market, rebar prices were heard in the range of 2,770-2,890 zloty per tonne CPT.
Import offers from Germany to Poland were heard at €660 ($715) per tonne CPT.
Polish mills reportedly offered wire rod for February delivery in the range of 3,100-3,300 zloty per tonne CPT. Offers were at a similar range in January, with the low end around 3,050 zloty per tonne CPT.
“Demand is very, very weak [this week]. Our market does not accept prices over 3,000 zloty per tonne CPT,” a distributor source told Fastmarkets.
The distributor estimated tradable prices in the range of 2,850-3,000 zloty per tonne CPT, but the lower end of the range was not confirmed by other market participants. According to Fastmarkets’ sources, a price of 2,850 zloty per tonne CPT would be too low considering high production costs of the mills.
Other market participants estimated workable prices in the range of 2,900-3,000 zloty per tonne CPT.
Some limited tonnages were traded at 3,100 zloty per tonne CPT this week.
Thus, Fastmarkets’ price assessment for steel wire rod (drawing quality), domestic, delivered Poland was 2,900-3,100 zloty per tonne on Friday, unchanged week on week.
Offers of imported material from Italy to Poland were heard in the range of €675-700 per tonne CPT.
Ukraine continued to offer mesh-grade wire rod at €660-670 per tonne CPT, Fastmarkets heard, and some deals for such material were concluded at prices in that range.
Published by: Darina Kahramanova