Long products prices in Italy have declined after a slight increase earlier this month was unsuccessful, as low consumption continues to put pressure on the market.
The demand for long products remains low, while the production of profiles and fittings is also limited. Attempts to raise the price of bars by 10-20 euros per ton (11.6-23.2 dollars per ton) in October were practically unsuccessful, according to market sources.
Kallanish. Prices in the domestic market are currently stabilizing at around 650-660 euros per ton, including additional sizes. Sources report the availability, especially in the south, of cheaper Turkish bars.
Prices for the sections are also stable, but European manufacturers continue to feel pressure on margins as production costs remain high. Market participants call October a "quiet month" for sales. "It wasn't a disaster, but it wasn't the best month for sales either," says one of the sources.
Export activity also slowed due to weak demand in Central Europe, and Germany, traditionally a key buyer of Italian long-term securities, was "stuck," according to the source. It is reported that German buyers are purchasing much smaller volumes than usual from Italy.
The average price for a section of the first category in the domestic market is 740-750 euros per ton.
Meanwhile, Spanish suppliers remain active in the Italian market of both long products and beams, offering prices about 30 euros per ton lower than domestic prices. Their competitive presence continues to put pressure on Italian factories, which are trying to shift higher production costs to end users.
Natalia Capra France
Kallanish.com
