Despite the continued weakness of demand, prices in the Romanian longs spot market and the local producer’s prices have remained largely unchanged this week. Market participants indicate that ongoing financial constraints in the construction sector and the approaching summer season have continued to limit purchasing activity, while activity at a number of construction projects is reported to have slowed. At the same time, many traders are still holding relatively high inventory levels, reducing the need for additional purchases and contributing to the subdued pace of trading. Aggressive offers from Italian suppliers and expectations of more competitive import prices have meanwhile continued to weigh on the domestic market, keeping sentiment cautious and transaction volumes limited.
As a result, rebar spot prices in Romania have remained stable at €635-640/mt ex-warehouse, while wire rod prices continue to be heard at €685-690/mt ex-warehouse.
Meanwhile, domestic producer Beltrame Group has maintained its rebar offer levels at around €640-650/mt ex-works, with no significant changes reported compared to the previous week.
On the other hand, conditions in the import market have remained largely unchanged, with buyers continuing to monitor market developments rather than actively pursuing new purchases. Expectations of lower prices and the generally subdued demand environment have continued to weigh on buying interest, resulting in another week of relatively limited trading activity. Meanwhile, offers from Bulgaria for rebar have softened slightly to €650-660/mt CPT Romania, compared to €655-665/mt CPT reported last week. Some market participants have also reported Italian rebar offers at approximately €645-650/mt delivered, although these levels could not be confirmed by the time of publication. On the non-EU side, Egyptian rebar offers have remained stable at €535-555/mt CFR Romania, while wire rod offers continue to be heard at €555-565/mt CFR. Turkish rebar offers have meanwhile been heard at €530-555/mt CFR Romania, compared to €535-545/mt CFR reported last week, based on an exchange rate of €1 = $1.15 and estimated freight costs of €25-30/mt.
