European HRC producers have kept their January delivery offer prices stable at high levels this week, while market talk has emerged about another potential price increase from the leading producer, ArcelorMittal, for February delivery. On the import side, trading activity has remained weak due to ongoing challenges related to CBAM compliance and safeguard quotas. Meanwhile, the spread between import prices on CFR basis (excluding CBAM) and import offers on DDP basis (including CBAM-related costs) has widened to €80/mt.
More specifically, local mills in northern Europe are reported to be targeting €630-650/mt ex-works for new orders for January and February deliveries, the same as last week. However, according to sources, the tradable price levels for January delivery coils have been estimated at €600-620/mt ex-works for mainly January delivery, compared to €580-610/mt ex-works last week. According to sources, EU mills are engaged in negotiations with automotive equipment manufacturers for 2026 supply contracts, which makes them reluctant to lower spot prices and weaken their bargaining position. “EU producers are reportedly targeting increases exceeding €100/mt for next year’s long-term deals, but buyers have shown little willingness to agree to such terms so far,” a market insider told SteelOrbis.
Meanwhile, in Italy, indicative HRC offers from mills have settled at €620-630/mt mainly for January delivery, the same as last week, while the tradable price level for January delivery has been estimated at €590-600/mt ex-works. However, according to sources, there are still some volumes left for December delivery at around €585-600/mt ex-works.
At the same time, discussions have emerged about a possible new price increase from leading producer ArcelorMittal for February delivery. Specifically, ArcelorMittal is currently offering HRC at around €650/mt ex-works and delivered, with market sources indicating that the producer plans to raise prices as high as €680/mt in the short run.
Import conditions have remained tight, as ongoing challenges from CBAM compliance and restricted safeguard quotas continue to complicate purchasing and delivery schedules. Indicative offers for import HRC have settled at €480-520/mt CFR, compared to €470-545/mt CFR last week. The lower end of the range corresponds to offers for ex-Indonesia HRC at €480-485/mt CFR, compared to deal prices at €470-480/mt CFR last week. Besides, offers for ex-Malaysia HRC have been heard at €480-490/mt CFR, while suppliers from India have been offering their material at $575/mt CFR or €495/mt CFR southern Europe. All prices exclude CBAM costs.
Offers for ex-Turkey HRC have settled at €520/mt CFR, duty included, mainly the same as last week, but without CBAM costs, though, according to sources, EU traders have this week been offering ex-Turkey HRC at €580/mt DDP and above, including CBAM costs. Furthermore, market insiders have reported HRC import offers from Asia coming to the region including CBAM costs on DDP basis at €560-580/mt levels, depending on the supplier, which means the spread between import prices without CBAM, and import offers on DDP basis, including CBAM-related costs, has reached €80/mt.
$1 = €0.86
