Romania's flat steel spot market has lost some momentum this week, as weak purchasing activity and buyers' resistance to the higher levels tested recently have made it increasingly difficult for traders to sustain their quotations. Sentiment has also been affected by reports of an aggressively priced sale by a major trader, which has strengthened buyers' bargaining position and brought discounts back into negotiations. At the same time, persistent liquidity constraints continue to encourage some suppliers to prioritize cash flow, while expectations for August remain cautious amid the seasonal slowdown and limited sales prospects.
Hot rolled sheet prices are currently assessed at €790-815/mt ex-warehouse, compared to €800-830/mt last week. However, a sale by a major trader has been discussed at around €750/mt ex-warehouse, a level considered well below the prevailing market range and therefore not fully representative of general quotations. Nevertheless, the transaction has added pressure to negotiations and contributed to softer price expectations.
Cold rolled sheet prices have also declined, to €890-900/mt ex-warehouse, from €900-925/mt in the previous week. Beyond these headline levels, traders are again showing greater flexibility for serious buyers, with discounts of around 5-8 percent heard depending on the order size, payment terms and the seller's need to generate liquidity.
Meanwhile, on the sole producer's side, Liberty Galati's outlook remains uncertain despite the tolling agreements with UK and Turkey-based companies announced this week. While these arrangements may provide some temporary support and allow limited production to resume, the Romanian authorities also confirmed that salary payments through the state-backed Guarantee Fund will not continue beyond the initial six-month period. The tolling agreements are therefore viewed mainly as a short-term measure, as the expected income is unlikely to cover the plant's wider financial needs, while efforts to bring in a new investor have yet to deliver a concrete result.
On the other hand, the import market has remained quiet, as Romanian buyers have sufficient stocks and are reluctant to make fresh purchases following the recent increase in import prices. Ukrainian hot rolled sheet prices have increased to €800-820/mt CPT Romania, from €760-770/mt last week, while cold rolled sheet offers have risen to €890-910/mt CPT Romania, compared to €850-860/mt previously. Serbian hot rolled sheet has been heard at around €900/mt CPT Romania, slightly above last week's €885/mt, although the latest level has not been confirmed. Meanwhile, Turkish HRC indications have edged down to €525-550/mt CFR Romania, from €530-550/mt last week. However, buying interest in Turkish material remains absent due to the lack of available quota and continued uncertainty surrounding CBAM-related costs, with some interest potentially returning in September.
