Unlike the overall EU flat steel market, which continues to witness stronger price movement, Romanian flat steel traders have had no choice but to reduce offer prices owing to ongoing slowness of demand. However, since prices have shown some softening, market players have stated that demand this week has been slightly higher than in previous weeks. Meanwhile, Romania's sole flat steel producer has been silent in terms of production and giving offers, but, with funding and government assistance, it is anticipated to return to the market soon.
As a result, this week the sole Romanian flat steel producer is still not offering to the local market, while spot prices for hot rolled sheet (HRS) and cold rolled sheet (CRS) have decreased by €10/mt and €10-15/mt to €710-735/mt ex-warehouse and €830-850/mt ex-warehouse, respectively.
On the other hand, in the import segment, as the sole flat steel producer is not active in the market, Romanian buyers in need of stocks have primarily favored Ukrainian suppliers in recent weeks, and, according to sources, some purchases have been made in past weeks but for smaller lots of HRS at €660-670/mt DAP. Currently, offer prices from the Ukrainian supplier for hot rolled sheet and cold rolled sheet are stable at €660-670/mt DAP and €750-760/mt DAP, respectively. In contrast, Turkish mills' HRC offers have continued to rise, with a FOB price of $575-585/mt and freight costs of roughly €25/mt, arriving in Romania at €555-565/mt CFR, up from €530-550/mt CFR last week. Moreover, this week, according to sources, South Korean suppliers have also offered HRS to Romania, at €700/mt DAP.