Domestic prices for hot-rolled steel coils in Europe remained virtually unchanged on Monday, January 12, and trading was calm. Market sources from both Northern and Southern Europe reported a decrease in demand, but gave different reasons.
Suppliers from Northern Europe offered HRC for delivery in March-April at a price of 650-670 euros (758-782 dollars) per ton from the factory. It was reported that some special shipments from the February delivery will be available at lower prices, but the tonnage is limited.
Meanwhile, according to available data, reasonable prices from the plant are 630-635 euros per ton, while no applications were received during the day.
A trade source said that at the end of 2025, inventories in service centers exceeded the norm, as it is expected that the price increase will be caused by the EU Carbon dioxide Emissions Control Mechanism (CBAM), which caused a decrease in demand after the winter holidays.
The daily price index for Fastmarkets hot-rolled steel for domestic consumption in Northern Europe was 635.63 euros (739.19 US dollars) per ton on January 12, which is only 0.63 euros more than 635.00 euros per ton on January 9.
The indicator increased by 5.63 euros per ton week-on-week and by 13.96 euros per ton on a monthly basis.
It was also reported that the Italian market was quiet, and no major transactions were heard during the day.
A local market source cited low consumption and economic problems, as well as Europe's low competitiveness in export markets, as reasons for low demand.
According to the latest estimates of buyers, the prices at which it is possible to trade are 620-630 euros per ton from the factory, while the supply offers for HRC in February and March are about 630-650 euros per ton from the factory, depending on the supplier.
The daily price index for Fastmarkets hot-rolled steel for domestic consumption (exw, Italy) on Monday was 627.50 euros per ton, down by 2.50 euros per ton a day earlier.
The indicator increased by 4.38 euros per ton week-on-week and by 16.25 euros per ton month-on-month.
The import HRC market in Europe has been at a standstill as buyers are faced with a lack of clarity regarding the new import mechanism following the introduction of CBAM on January 1.
"I don't think anyone knows how much we're going to pay or what the actual values are compared to the default values," said one customer.
Indian HRC was available in the range of 490-510 euros per ton CFR, while Turkish material was offered at 510 euros per ton CFR.
Author: Vlada Novokreschenova
Fastmarkets.com
