Since the end of last week, Italian rebar producers have been pushing for price increases of around €40/mt due to the surge in energy costs. For the same reason, the same steel mills have reduced production by shortening work shifts and interrupting activities during peak hours.
Italian producers are currently positioned at €730/mt ex-works, though no transactions have been closed at such a price so far. According to sources, until now buyers have obtained volumes at the previous price levels, i.e., at €680-690/mt ex-works. As buyers are now generally well stocked, the same sources believe that the new price will be accepted in a few weeks’ time, presumably by mid-November.
Meanwhile, Italian rebar producers are not offering material to the export market, though demand is improving and sources expect prices to reach €670/mt FOB in the coming week, against the €640/mt level that was recorded at the end of September.