Although rebar demand in Italy is not good, Italian mills prefer to turn to their domestic market first instead of heading to the export markets, due to the more advantageous domestic prices and also under the influence of their reduced capacity utilization rates. SteelOrbis has learned that in the Italian domestic market base prices of rebar stand at €300-310/mt ($434-448/mt) ex-works, on actual weight basis. However, market sources have told SteelOrbis that transactions are being concluded at €295/mt ($426/mt) ex-works. Finding these price levels high, Italian buyers prefer to focus only on meeting their daily spot material needs. In the meantime, Italian producers are currently offering rebar to the export markets at €510/mt ($737/mt) FOB on actual weight basis. Italian mills have recently concluded some rebar transactions to the Algerian market, though in low volumes at €535/mt ($773/mt) CFR. SteelOrbis has heard from market sources that Italian rebar prices may move upwards in coming days.
Rebar demand in the Spanish domestic market is still low and local mills have maintained their rebar base prices at €285-290/mt ($412-419/mt) ex-works. On the other hand, the rebar export offers of Spanish mills are standing at €510/mt ($737/mt) FOB on actual weight basis, while these producers' offers to the Algerian market have moved up slightly to €535/mt ($773/mt) CFR, after some demand started coming from this country.
Spanish mills' rebar offers to Portugal have increased to €565/mt ($816/mt) on actual weight basis for deliveries to customer and for 60-day deferred payments. However, rebar demand in Portugal is very weak and bookings are only being concluded to meet daily needs. Traders state that they find the above price level to be on the high side.
In the Greek domestic market, mills' prices for medium size rebar have increased by €5/mt as compared to last week, in line with the price hikes by Turkish and Italian mills, despite the low demand and slow transactions in the country. Accordingly, Greek mills' prices for medium size rebar have reached €535-565/mt ($773-816/mt) for 30-day deferred payments, delivered to customer, excluding VAT and on actual weight basis. Further price increases are expected in the coming days.
Following the national holiday in Bulgaria last week, rebar prices in the domestic market have been updated upwards, in line with Turkish mills' price hikes. Rebar demand in Bulgaria has shown some further recovery, with increased activity in the country's construction industry. SteelOrbis has learned that domestic rebar prices in the local Bulgarian market now stand at BGN 990/mt ($731/mt) CPT on actual weight basis, exclusive of 20 percent VAT.
After the steep price increases seen in the Turkish domestic rebar market, it is reported that some traders are now considering importing rebar to the Turkish market.