During the last week of August, trade activity in cold rolled coil (CRC) and hot dip galvanized (HDG) in Europe remained weak amid the slow summer season, with local prices remaining relatively unchanged while, according to sources, almost all European mills, especially those producing HDG, are reported to have been delaying their deliveries for several weeks now.
Specifically, in the domestic CRC market in the EU, most producers are offering at €760-770/mt ex-works, though tradable prices are still reported at €750-760/mt ex-works levels, both in the south and north of Europe, the same as at the beginning of the month. “Trade has been slow all month amid the traditional summer lull, but there is some hope prices may recover in September,” a market insider said.
Import prices for CRC in Europe have been estimated at €685-710/mt CFR, up by €5-10/mt since the beginning of the month, with the lower end of the range corresponding to deal prices for ex-South Korea CRC last week, while the higher end corresponds to ex-Japan offers.
Meanwhile, local prices for HDG have been estimated at €780-800/mt ex-works, up by €10/mt over the past week, with offers in Italy heard at €780-790/mt levels, while prices in northern Europe have been reported at €780-800/mt, both ex-works. At the same time, most import offers for HDG have settled at €800-820/mt CFR, up by €10-20/mt since late July-early August. Offers for ex-Turkey HDG have been reported at $880-890/mt CFR southern Europe, which translates to around €810-820/mt CFR, while offers from Vietnam have been voiced at $870/mt CFR, or €800/mt CFR. Although trade has remained limited in Europe, according to sources, a deal for 2,000 mt of ex-India HDG has been reported at around $880/mt CFR for delivery to Europe, which translates to around €810/mt CFR.
“HDG supply is reduced now in Europe as most mills are producing HDG only to fulfil their orders,” another market source told SteelOrbis.
$1 = €0.92