European hot-rolled coil prices remained unchanged on July 31, with factories across the region maintaining supply levels and preparing the ground for price increases expected to occur after the summer.
In Northern Europe, prices for hot-rolled coils ranged from 550-570 euros/ton from the Ruhr plant, while supply offers remained virtually unchanged in October at 590 euros per ton. Market sources said that the spread reflects the remaining volumes in the third quarter and the growing expectation of a September uptrend.
"It is obvious that prices will rise, factories are now laying the foundation, even if demand has not fully formed yet," said a source at the service center.
The import markets have hardly changed: Turkish offers to Antwerp were received at a price of 530 euros per ton of CIF with payment of duties. The Indian material was more competitive at a price of about 500 euros per ton CFR, but buyers showed limited persistence as CBAM uncertainty and temporary risks affected sentiment.
"Import offers look attractive on paper, but there are fluctuations in all directions. Everyone is worried about whether they will be able to get the raw materials before the end of the year," the trader said.
In Southern Europe, domestic HRC offers ranged from 550 to 560 euros per tonne at the Italian plant at the end of the third quarter. Turkish offers to Italy were estimated at 520-525 euros per ton CFR with payment of duties, and the Indian roll fell in price again to 500 euros per ton.
. Despite still sluggish real demand, some factories are rumored to have raised prices, hoping for restocking and a potential economic boost after the holiday lull. Nevertheless, buyers remained cautious, and most of them chose not to enter the current spot market in anticipation of more clarity in September.
Platts estimated domestic demand in Northern Europe at 560 euros per tonne excluding production in the Ruhr, which is 5 euros higher per day, and in Southern Europe at 530 euros per tonne excluding production in Italy, prices remained stable during the day.
Platts estimated HRC imports in Northern Europe at 475 euros per tonne CIF in Antwerp and in Southern Europe at 470 euros per tonne CIF in Italy, both indicators were stable during the day.
Devbrat Saha |Charles Thompson
spglobal.com
