Despite the slower trading activity in the local market, the sole Romanian rebar producer and local traders have kept their offers stable week on week. According to market participants, the stability of prices at increased levels is due to the strengthening of the currency and reduced stock levels, particularly in the rebar segment. As a result, interest in imports has increased, and Romanian traders are keeping an eye on prices, particularly those from Turkey, which are softening.
“Since there is not much material in the market, suppliers are taking advantage of this by raising or maintaining prices. However, some cheaper imported materials are likely to enter the market in December, potentially crashing prices,” a trader told SteelOrbis.
Currently, local Romanian rebar spot prices are stable at €580-595/mt ex-warehouse. Similarly, the sole domestic mill continues to keep offers stable week on week at €580-590/mt ex-works.
In the meantime, although no deals have been reported, decreased stocks are expected to cause Romanian traders to turn to imports in the coming weeks. Reports state that, while Egypt is still not offering due to being completely booked out for December, ex-Moldova offers for rebar have been heard at €620/mt CPT to Romania. Ex-Turkey rebar offers, on the other hand, have shown decreasing movements week on week and, based on mills’ prices of $565-580/mt FOB and freight costs of $25-30/mt, the levels to Romania should be at or around €560-580/mt CFR at the current currency exchange rate of €1 = $1.05. In contrast, the Bulgarian supplier has increased offers to €620-630/mt CPT, compared to €610-620/mt CPT last week.
On the other hand, in the wire rod market, the same strategy has been observed. Even though demand is at limited levels, most traders have quoted the same prices as before at around €580-590/mt ex-warehouse.