Trading activity picked up somewhat in the European domestic hot-rolled coil market in the middle of July, albeit from low levels. Demand remains generally low, as buyers still have sufficient stocks to thaw from the shock after the unveiling of the new import quotas and going through the summer holiday period.
In Northern regions tradeable levels were said to increase to €710-720 ($811-823) per tonne ex-works, with some bookings heard recently at the lower end of the range, while market participants underlined that trading remained quite thin.
“Customers are waiting to order, because they feel that the €740-750 per tonne ex-works which was announced, will not be reached in August-September,” one service center from the Benelux area said.
“I do not think there is enough demand in the market to make any market price,” a buyer from Germany said, adding that it will only be seen after mid- or end-August, when the mills start to offer for real purchases.
Fastmarkets’ daily steel hot-rolled coil index domestic, exw Northern Europe was calculated at €710 per tonne on Tuesday July 14, up by €1.67 per tonne day on day versus €708.33 per tonne on Monday July 13.
The index was up by €18.75 per tonne week on week and by €24.79 per tonne month on month.
The corresponding daily steel hot-rolled coil index domestic, exw Italy was €699.38 per tonne on July 14, up by €4.17 per tonne day on day from €695.21 per tonne on July 13.
The index was up by €20.63 per tonne week on week and by €11.88 per tonne month on month.
Deals in the country were heard within the wide range of €680-710 per tonne ex-works on July 14 with mills targeting above €700 per tonne ex-works.
On the import side, 30,000-40,000 tonnes of Indian HRC were heard booked for Southern Europe at €570 per tonne CFR.
There was also information circulating in the market about a booking of Vietnamese cargo at $730-735 per tonne to the region, but it could not be widely confirmed by the time of publication.
