Prices for rolled steel products in Europe declined in the week to June 20, as factories forced to fulfill their orders faced limited demand.
Italian distributors sell thick sheets at a price of 590-610 euros per ton, which is about 10 euros lower per ton per week.
European factories are still offering materials for delivery in July, the sources said.
"Prices for rolled steel have decreased due to low demand, but at least imports are putting less pressure on other products," a source at the plant said.
Some market participants believe that there are opportunities for further price reductions, judging by the value of the imported slab and the exchange rate.
"The imported slab does not exert pressure, but the demand for it is low. I believe that the distributors have the opportunity to lower prices in order to secure profitable deals," the trader said.
There were reports of slab offers from China priced at $500 per ton compared to Italy, and exporters were willing to provide discounts of about $10 per ton.
A slab from Indonesia was offered at a price of $480 per ton in Italy, but the material was not suitable for rolling thick-rolled products, the sources said.
In North-Western Europe, prices for thick-rolled products also decreased amid weak demand. Although some integrated enterprises continue to benefit from supplying projects under long-term contracts, demand in these segments has also begun to decline.
Prices are going down. "Due to the complete lack of business, wind farm projects have been frozen," said another steel producer.
It became known about the deal for the supply of s235jr plates from a processing plant in Northwestern Europe at a price of 650 euros per ton with delivery to Germany.
German factories continue to offer s355jr slabs at a price close to 700 euros per ton with delivery, or at a price of 670-680 euros per ton in stock for s235jr material.
Italian distributors offer sheet metal at a price of 660 euros per ton with delivery to Germany.
The Central European distributor offered the material at a price equivalent to 655-680 euros per ton with delivery to Germany, for grade s355jr.
Weekly European prices for rolled steel, slabs and crude steel
Unit of measurement[b]Term[/b][b]Mark[/b][b]Change[/b]Weekly rateThe customs tariff of North-Western EuropeEuro/tonCustoms tariff6650Germany supplied thick-rolled products (North-Western Europe)Euro per ton660-25Italy - from the thick-leaved plant
