A market that is experiencing strong upward movement that is expected to continue until summer - this is the situation of the Italian welded tubes and tubular goods market, gleaned from a survey of market players.
After the increases obtained by the producers in the month of March, April has opened with a further reduction of the discounts that have maintained quotations at high levels.
Those surveyed have confirmed that the increase in prices is due to the continuous rise in raw material prices and also due to the increase in the cost of coils that, in the tube sector, makes its effect felt with a delay of a couple of weeks.
Apparent demand appears particularly brilliant. This may be a result of the strong increase trend seen in prices. Real demand is also good, helped along by the favorable weather conditions.
According to those involved in the market, the upward pressure on quotations will last for a few more months. This belief is reinforced by the overall positive conjuncture being experienced by the steel market, and by the high prices of raw materials which are not thought likely to change before the summer.