The uptrend of flat steel prices in the EU has been continuing in the past ten days. The main reason is once again the shortage of products from both domestic and foreign suppliers.
According to sources, transaction prices for hot rolled coil (HRC) have reached €560-580/mt ex-works in northern Europe, up €25/mt compared to 24 November, while they have increased by €20/mt in Italy to €540-560/mt ex-works.
Meanwhile, transaction prices in the EU market range from €640/mt to €680/mt for cold rolled coils (CRC) and from €640/mt to €700/mt for hot dip galvanized (HDG) coils, with the lower ends available only in southern Europe. At the same time, local mills are still seeking higher prices for all the above products.
Demand is good as buyers are almost desperately trying to procure the products they need. Mills in northern Europe have sold out their first quarter production, while mills in Italy are offering their March-April output. Meanwhile, "imports are non-existent as any offer would be too high," commented one Italian steel service center. The reference for HRC import prices in Italy is currently €550-570/mt CFR, which is basically in line with domestic prices.