The European coil import market continues to be affected by uncertainty, mainly linked with the wait for a final decision on safeguard measures beyond the end of June.
In Italy traders are reporting that some Indian hot rolled coil could be competitive at as low as €900/tonne ($1,097) cfr. Buyers are however already considering the need to apply the 25% safeguard duty due to the fact large tonnages have already been ordered for delivery in the third and fourth quarters.
From Asia some HRC offers were heard at above €1,000/t cfr southern Europe, while Turkish suppliers remain uncompetitive at the moment, Kallanish notes.
For cold rolled coil, Indian sources are offering at €1,190-1,200/t cfr southern Europe. “I have sold Chinese material at the same level, inclusive of anti-dumping duty,” a trader comments.
While many buyers are waiting to understand the decision on safeguard measures, in Italy further uncertainty is also created by the future of the former Ilva mill in Taranto. Future judicial developments there could impact output from September onwards, a source observes.
According to the latest numbers from the official European Commission database, very few duty-free safeguard allocation for coils are still available until the end of June.
Emanuele Norsa Italy
