In the Italian domestic market hot rolled coil (HRC) prices have decreased further by €7.5/mt in the past week, to the current levels of €430-440/mt ($477-488/mt) ex-works. Local demand is still weak, and market sources believe prices could decline further in the coming period.
Meanwhile, import offers keep putting pressure on Italian (and European) steel mills with HRC offers ranging from €420/mt ($466/mt) to €430/mt ($477/mt) CFR Italy, originating from India and Turkey.
According to market sources, without an increase in demand and in the very-likely event that import arrivals increase in the fourth quarter, both Italian and European producers will have to cut their outputs further. In this situation of uncertainty, domestic buyers keep buying only what they need.