According to information collected by SteelOrbis from market sources, global steel giant ArcelorMittal has announced price increases for longs products, in the range of €15-25/mt, for its next round of sales in Europe.
The previous general market price ranges for rebar and wire rod in northern Europe were standing at €610-650/mt delivered for rebar and €680-700/mt delivered for wire rod, whereas in southern Europe they were standing at €660-680/mt delivered for rebar and around €685-695/mt delivered for wire rod.
Sources believe, though, that this latest move is just a signal from ArcelorMittal to the market. Under the current circumstances, the sources say, longs demand is not strong enough to absorb these price rises, which seem to be driven by energy and transportation costs.
According to some producers, these price increases are “logical”, but they are arriving too early, as probably the first significant recovery of activity in the long steel segment will start to be seen at the end of August or beginning of September.
“I don't believe these rises will work out in the short term”, a source commented. “But their aim is probably to prepare the market for September”, he concluded.
“It is a message from them, that prices will not go down anymore”, another source said.
