According to market sources, domestic wire rod prices in Italy have almost remained stable as compared to the pre-holiday period, even though demand is still slack and local scrap prices have decreased significantly this month. In fact, domestic drawing quality (SAE1006) wire rod prices in Italy are at €510-520/mt ($581-593/mt) delivered to customer, only down €5/mt on the lower end compared to the previous price levels.
Market sources have explained that the definitive safeguard measures in the EU are strengthening the position of domestic producers. Moreover, they think the wire rod quota will be exhausted within a short time, since there are already large volumes of material at ports waiting for customs clearance. For this reason, even though import offers are quite competitive, no buyer is willing to order import material and risk paying the 25 percent duty.
€1 = $1.14