Southern European rebar markets remain silent ahead of summer holliday

Wednesday, 13 July 2011 15:56:38 (GMT+3)   |  

In the Italian domestic rebar market, prices have shown some softening due to weak demand, falling to €520-530/mt ($733-747/mt) on actual weight basis, for deliveries to customer. In the meantime, SteelOrbis has learned that Italian rolling mills' rebar offers to the export markets still stand at €505-510/mt ($712-719/mt) FOB on actual weight basis. In Algeria, the major export market of Italian rolling mills, rebar demand is currently at good levels and buyers are reportedly concluding rebar transactions at €530-535/mt ($747-754/mt) CFR. Due to Italian steelmakers' planned maintenance works in late July, as well as already emerging supply shortages for some rebar sizes, market players state that a price hike is likely to occur in the coming period.

Spanish mills will start conducting planned maintenance works soon, and so they have already lowered their capacity usage levels. In line with supply shortages seen in the Spanish domestic rebar market and despite low rebar demand, domestic rebar prices have increased, reaching €570-575/mt ($804-811/mt) on actual weight basis, for deliveries to customer. Due to mills' reduced capacity usage and since domestic rebar prices are more preferable for Spanish mills, it is currently difficult to hear specific export offer levels. However, Spanish mills' latest rebar export offers were standing at €515-520/mt ($726-733/mt/mt) FOB on actual weight basis. 

In Portugal, although rebar prices have remained unchanged, rebar demand is still very low. Spanish mills' rebar offers to Portugal still stand at €585/mt ($825/mt) on actual weight basis for deliveries to customer and for 60-day deferred payments. Market players state that they are not expecting any price increase in the coming weeks.

After last week's rebar price hike of €30/mt ($42/mt) in the Greek domestic market, mills' prices for medium size rebar have been revised downward this week to €540-580/mt ($761-818/mt) for 30-day deferred payments, delivered to customer, excluding VAT and on actual weight basis. SteelOrbis has learned that rebar demand in the Greek domestic market is low, due to the approach of the summer holiday period.

Compared to the other countries mentioned above, rebar demand in Bulgaria is at good levels. SteelOrbis has learned that domestic rebar prices in the local Bulgarian market stand at BGN 995-1,000/mt ($715-719/mt) ex-works on actual weight basis, exclusive of 20 percent VAT.

 

€1 = $1.41


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