Domestic rebar prices in Italy likely to decrease

Italian rebar producers are squeezed on the one hand by the lack of scrap - which is causing a rise in the local raw material prices - and on the other hand by the weakness of their sales. Domestic rebar prices have remained stable in the past two weeks at €400-410/mt ex-works. However, market sources expect price decreases in the coming weeks dictated by the need for producers to obtain volumes. They are still struggling to get orders despite the reopening of public and private construction sites since yesterday, May 4, thanks to the beginning of the so-called "phase 2" of the coronavirus restrictions in Italy. Meanwhile, due to the spread of the pandemic globally, Italian rebar exports are still inactive, depriving Italian producers of an important relief valve for their production.