Rebar prices in Italy's domestic market continue to rise and show no signs yet of coming to a halt. According to players in the market, rebar base prices are pushing for even higher record levels, having already gained a total of €200-210/mt ($312-328/mt) in the period from December up to the present time.
After a fairly stable February, the month of March has seen an impressive price acceleration which gives no indication of exhausting itself.
With regard to demand, no changes are reported compared to the previous period. On the one hand, exports are going through a positive period - Italian producers' order books have been filled for all of April, with important shipments destined for the Mediterranean area and especially for Algeria. On the other hand, the Italian domestic market is faced with feeble levels of real demand. Some insiders on the producers' side report problems in obtaining payments from customers due to the strong surge in quotations - in particular, in sectors where rebar costs are significant, as is the case in public contracts.
Predictions for the coming period are for further rises. Those operating in the sector say that there could be further increases over the coming two months and that extras could also be hiked.
However, the current situation could undergo a change if a significant drop is seen in exports. As Italian domestic rebar production exceeds domestic consumption, any deterioration in the export volume could lead producers to lower their quotation levels.