HRC prices in the UK remain stable amid seasonal summer recession
Domestic hot-rolled steel prices in the UK remained unchanged in the week ending July 17, as market participants pointed to a quieter period with stable demand and mixed expectations.
A source at the service center said that the level of activity is expected to decrease in the coming months. weeks when the market switched to the summer period, although current demand remained relatively stable.
The source also referred to the EU hot-rolled roll market, noting that roll prices have become more competitive worldwide as factories continued to reduce supply levels to fill their order portfolios for the summer, and wondered if this would affect the hot-rolled roll market in Europe. the UK market.
Platts estimated the HRC in Northern Europe at 535 euros per tonne, excluding production in the Ruhr, which is stable from day to day and is the lowest level since November. 23, 2020.
The Platts agency estimated the cost of housing in the UK at 505 pounds per ton in the West Midlands, unchanged from week to week. Market prices ranged from 500-520 pounds per ton.
The main reason for concern in the market was still the lack of clarity in connection with the recent tightening of UK quotas for certain types of steel.
"The quota for hot-dip galvanizing is just ridiculous," said a source at the service center. "The government didn't actually send any notification; it was really unclear."
The source added that some UK ports, in particular Liverpool, were overcrowded due to quota changes, and significant volumes of cargo were awaiting customs clearance.
Some sources noted that buyers were changing the source of supplies of galvanized steel from South Korea and Vietnam, which were most affected by the introduction of quotas, to countries such as Brazil and Turkey.
Riley Waters | Devbrat Sakha
Platts.com