Portuguese flat steel producers struggle to set prices for July rolling

The Portuguese flat steel market is still quiet and local demand has remained poor. Due to the ongoing weakness of the euro against the US dollar and low local demand, Portuguese flat steel producers have been unable to set their domestic prices for July rolling. While the general market expectation is for a price drop of €15-20/mt ($19-25/mt) in new prices, talk in the market before the announcement of the new prices would seem to indicate that this price decrease may not be sufficient.
 
Flat steel prices in Portugal have remained unchanged since last week, though producers may offer discounts for large volume orders.
 
SteelOrbis has learned from market sources that hot rolled sheet (HRS) prices in the Portuguese domestic market are standing at €590-600/mt ($741-754/mt) ex-warehouse, while Italian offers to Portugal for June production hot rolled coils (HRC) are at €530-540/mt ($666-678/mt) CFR.
 
In the meantime, hot dip galvanized (HDG) steel base prices of local producer Lusosider are at €610-620/mt ($766-779/mt) ex-works.
 
€1 = $1.256