In the Italian market, the latest prices in domestic steelmakers' scrap purchases from traders have indicated strong decreases for October shipments:
Quality |
Average price |
|
Oct 1 (€/mt) |
Sept 7 (€/mt) |
|
HMS |
250-270 ($323-348/mt) |
280-295 ($361-381/mt) |
Shredded scrap (E40) |
285-295 ($368-381/mt) |
310-325 ($400-419/mt) |
Busheling (E8)/(E8C) |
280-290/295 ($361-374/381/mt) |
305-315/325 ($393-406/419/mt) |
*Prices are for delivery to customer and exclude VAT
In the past week, activity in the Italian scrap market has almost drawn to a halt ahead of the October meeting of Nuovo Campsider, the Italian scrap consumers association. While new orders have been placed, the price trend is definitely down. In the meantime, steelmakers' price idea is clear, with month-on-month comparisons revealing declines of €25-30/mt ($32-39/mt).
Italian steel mills' purchase managers cite the harsh environment both in the domestic and export markets which has lately been seen for carbon steel products and also for special steel products. For this reason, Italian electric arc furnace (EAF) steel producers will be forced to lower outputs and finished product prices. On the other hand, scrap traders highlight that supplies of raw material are scarce. Moreover, Italian scrap sales managers have told SteelOrbis that they are often obliged to accept bookings for prompt deliveries, underlining that the lead time factor has its own weight in the price negotiation process.
€1 = $1.29