Factories are struggling to make ends meet in the global long products market amid fierce competition
. Demand is very weak, and the situation on the global market of long products remains difficult. Factories are reducing production, protectionist measures are continuing in full swing, while China and other countries in the region are increasing exports, which is putting pressure on prices. There is very fierce competition in the market, and every manufacturer is fighting to the last cent to maintain its operations. Imports displaced by U.
S. tariffs are looking for housing, causing disruptions around the world, and any demand is being challenged by many suppliers.
Demand may improve slightly after the holiday season
The holiday season is over, and we may see relatively higher demand in the coming months. There has been a slight increase in prices in the Chinese domestic market over the past few weeks, which has had a positive impact, but further developments in China need to be monitored. The expected reduction in interest rates may also create a positive atmosphere in the global long-term securities market. Scrap metal prices have decreased, and the main problem is that factories are operating without profit due to low capacity utilization, which creates real damage in the future.
Imports are still flooding Europe, summer production shutdowns may support market balance
Imports continue to decline. they have flooded into Europe, and demand there is weak. However, as European factories reduce production in the summer, there is a chance that the market will rebalance in the fourth quarter. Whether this will lead to real changes remains to be seen. Domestic prices in Germany dropped significantly from June to August, but now factories are trying to raise prices again and regain lost ground. Activity is still very low, but September is expected to be the best month.
Court appeals against Trump's tariffs create additional uncertainty
At the moment, the courts of appeal have appealed against five decisions of US President Trump on tariffs. This will plunge the market into even more uncertainty than before. It may take at least six months for appeals to pass through the judicial system all the way to the Supreme Court.
Domestic supply satisfies most of the demand in the US long-term securities market, prices are decreasing slightly.
In the USA, demand is very low. Since there are practically no imports, domestic supply seems to be meeting demand, so prices did not rise even with the introduction of a 50% import duty. On the contrary, most prices decrease slightly every week. Capacity utilization
