Hot rolled coil (HRC) prices have increased further in the Italian domestic market this week. Base prices are now at €405-415/mt ex-works, against the previous average level of €400/mt ex-works. According to market sources, some suppliers, namely, Arvedi and Marcegaglia, have now stopped giving offers pending greater clarity regarding the Ilva issue. HRC prices could increase further in the coming weeks, both in Italy and in the European market, in the wake of production cuts and the trend of international raw material prices.
Meanwhile, HRC offers to Italy from Turkey have also increased, reaching €430-440/mt CFR levels in some cases. Indian mills have been in the market with around €420-425/mt CFR. Italian buyers have not accepted such prices as they are higher than local prices. Moreover, there was rather active restocking with Turkish material in previous weeks at lower price levels. As for the northern European market, prices have remained stable since the beginning of this week at €410-425/mt ex-works.