Since the outlook has remained unchanged and there has been no major improvement in trading activity, Romania’s sole rebar producer and most local rebar traders have decided to keep offer prices stable in the past week. However, due to increased movement in Turkey’s scrap segment and predictions of improvements in long steel export prices, some Romanian rebar traders have tried to offer at higher levels than feasible. However, according to market participants, demand in the local market is presently not very supportive of further price increases.
“Everything appeared more promising in the domestic market last week, but things are different now. A few traders are attempting to set high prices, but demand is not meeting those levels,” a trader told SteelOrbis.
As a result, rebar offers from the sole Romanian rebar producer have remained unchanged at €580-590/mt ex-works. Likewise, the majority of Romanian long steel traders have kept their offers stable, offering rebar at €590-605/mt ex-warehouse and wire rod at €585-595/mt ex-warehouse.
However, according to sources, certain traders are attempting to sell at higher prices than feasible at around €610-615/mt ex-warehouse, without much success.
Meanwhile, in the import market, Romanian buyers have remained mute and have been monitoring the market, since their stocks are currently sufficient and prices may rise higher with the support of scrap. According to sources, this week Greece’s rebar and wire rod offers to Romania have remained stable at €630-635/mt CFR and €620-625/mt CFR, respectively. Furthermore, Egypt's offers to Romania for rebar and wire rod have been heard at €565-570/mt CFR and €575-580/mt CFR, respectively. On the other hand, considering a €1 = $1.04 exchange rate and a freight cost of €25-30/mt, the average price of rebar from Turkey has risen by €5/mt to €555-570/mt CFR Romania.