After seeing improvements in scrap prices, especially from Turkey and increases from other exporters, Romania-based long steel traders have decided to follow the upward trend and increase prices for the domestic market. However, according to market participants, trade has remained at the same minimal levels as economic circumstances and construction projects continue to be negative issues for both sellers and buyers.
“Although sales have been extremely sluggish for a while in Romania, prices have gone up, but this week's sales are still non-existent. Furthermore, all investments are halted owing to high interest rates, making it difficult to expect the metals industry to improve considering the local economic issues,” a trader commented to SteelOrbis.
As a result, the majority of rebar traders have decided to increase their offers by €20/mt week on week to €590-605/mt ex-warehouse. Meanwhile, the sole domestic rebar producer has remained silent on offers during the week and is anticipated to issue offers in the coming month.
Even though the outlook for the wire rod market is substantially more unfavorable than for the rebar segment and trade continues to be sluggish, the majority of traders have chosen to increase their offers slightly. Wire rod offers in Romania are currently fixed at €580-595/mt ex-warehouse, up from €570-590/mt ex-warehouse the week before.
Several offers have been received in the import market even if no bookings have been reported this week. Accordingly, Egypt has maintained its rebar and wire rod pricing from the previous week at €590-595/mt CFR. While Greece has offered rebar at €645-650/mt CFR and wire rod at €675-680/mt CFR, respectively, both up from €625-640/mt CFR. Meanwhile, ex-Turkey offers from mills are at $610-630/mt FOB and freight rates of $25-30/mt have increased by €10/mt, resulting in €585-605/mt CFR at the current exchange rate of €1 = $1.09, compared to previous offers of €575-605/mt CFR.
