In line with the overall trend in the global flats markets, Eastern European countries have also been seeing an uptrend in their flats prices started from the beginning of 2008. However, the fact that over the past two weeks offers are being given for shipments to be made in summer when demand is usually sluggish, has started to give discomfort to the buyers. With no softening being observed in the steelmakers' prices, it cannot be said that demand in Eastern Europe is strong.
In the latest offers ex-Bulgarian steelmaker Kremikovtzi, HRC stood at the level of €660/mt FOB Burgas and bookings were also concluded at this price. Although the Bulgarian domestic market is not strong at the moment, market players are being kept busy in this market as well trying to guess the direction in which prices will move. This situation leads buyers to adopt a wait-and-see stance before moving to perform purchases. While the prices for HRC and CRC in the Bulgarian domestic market have remained unchanged compared with two to three weeks ago, a rise has been observed in the prices for plates and galvanized materials. The hike in plates has been registered in materials of 16-50 mm thickness. In the Bulgarian domestic market, the prices for HRC stand at BGN 1,350/mt ($1,098/mt), CRC at BGN 1,390/mt ($1,131/mt), plates at BGN 1,420-1,530/mt ($1,155-1,245/mt), whereas HDG stands at BGN 1,570-1,630/mt ($1,277-1,326/mt), depending on thickness. In the latest HDG bookings in Bulgaria, Indian-origin Z100 grade HDG of 0.5 mm thickness stood at the level of €800/mt C&F Burgas.
The activity in the Romanian flats market has declined in the past two weeks. Currently, HRC prices are at €700/mt, whereas plate prices are at €780/mt in Romania's domestic flats market. ArcelorMittal Galati's offers for the domestic market hover at even higher prices than the levels in question. The sluggish demand is a source of threat for the stockists. The latest ex-Turkey HDG offers for Romania were given at $1,610-1,620/mt CFR, while ex-India ones stood in a range of €870-880/mt CIF Romania.
As regards the Serbian flats market, an uptrend has been registered in parallel with the rises in the international market since the beginning of 2008; however, it is seen that this uptrend has slowed down slightly in the past two to three weeks. Ex-Ukrainian HRC offers to Serbia for May production are at $1,080/mt DAF and the same origin CRC offers are at $1,160/mt DAF. Meanwhile, ex-Ukrainian plate offers for the same destination are currently at $1,115/mt FOB Odessa. Looking at the Serbian domestic market, it is seen that the local sales price for HRC vary in a range of $1,050-1,060/mt.
Since there has been no softening in the import prices, the uptrend in the domestic markets of the Eastern European countries may continue in the upcoming days as well.