Rebar prices in the local Italian market have remained almost unchanged this week. While base prices were at €320-330/mt, medium size rebar prices were at €435-445/mt ($644-659/mt) ex-works for 60-90 deferred payment. It would be difficult to say that the level of demand is currently strong.
Producers in the local Spanish rebar market decreased their prices slightly. It has been possible to see base price levels as low as €330/mt. This price is equivalent to 12 mm rebar at the price level of €550 ($814/mt) ex-works for 30-day deferred payment. Considerably weak demand has caused prices to tighten slightly even in the absence of import competition.
As regards the local market in Greece, this week prices have been at €550/mt ($814/mt) delivered to customer with 90-day deferred payment, same as last week's price level. It is heard that the producers are planning an increase.
In the southern European rebar export market, there are some offers from the Iberian Peninsula at €515-520/mt ($762-770/mt). Italian producers have been pushing for €530/mt ($784/mt) FOB and above, after they concluded sales for April shipments at the price level of $525/mt ($777/mt). The Greek producers have recalled their offers, which were at the price level of €520/mt ($770/mt), and it is expected that they will push for €530-540/mt ($784-799/mt) FOB.
The demand level is fairly low in the local rebar markets in southern Europe. Also, prices are considerably stable compared to the unsettled international market. On the export side, a stronger and more stable market is being observed compared to the situation in the local markets.
It is expected that the turbulence which has started in the Far East will affect Europe after the Middle East. On the other hand, it is reported that the Ukrainian producers will increase their prices sharply in March with the help of the activity in Middle East and the renewal in the Russian local market. In this event, southern Europe's export market to North Africa is likely to be affected.