After Italian steelmaker Ilva announced the closure of its Taranto-based steel complex, flat steel prices in the Portuguese market have increased by €20/mt ($26/mt). In the Portuguese flat steel market, where Ilva is the one of the most important flat steel suppliers, local buyers are experiencing difficulties as their previously purchased products from Ilva have been seized at Taranto port and are not allowed to be loaded at the moment. Portuguese buyers, who have bought flat steel from Ilva, indicate that it will be such a long and arduous process for them to make replacement purchases.
Meanwhile, even though in early November hot rolled coil (HRC) offers from Spain to Portugal had been standing at €480/mt ($624/mt) CFR, during the month transactions were concluded at the price level of €460/mt ($598/mt) CFR. However, the offers in question have moved up again to €480/mt CFR base level, for shipments in January, amid increased expectations for the closure of Ilva's complex this week. Market sources believe that further developments regarding Ilva's case will determine the price trend in the market.
SteelOrbis has learned that in the Portuguese flat steel market the prices of HRC are now at €535/mt ($696/mt) ex-works, while hot rolled sheet (HRS) is now being offered at €600/mt ($780/mt), both for shipments in the December-January period.
In the meantime, local producer Lusosider's base offers for hot dip galvanized (HDG) coil are now standing at €570/mt ($741/mt) ex-works, for January deliveries.
€1 = $1.30