Prices for European rebar and wire rod are decreasing
Domestic rebar and wire rod prices in Europe declined during the week, Wednesday, September 24, mainly due to lack of demand, but also due to falling scrap prices and import pressure, Fastmarkets sources said.
"The market won't come back the way it should in September," a German producer source told Fastmarkets, adding that the continued weakening in scrap prices is exacerbating the decline in the long-term steel segment.
But he said the feasible price for large tonnage was about €600 ($705.75) per ton delivered in Germany and up to $630 per ton delivered for small tonnage.
A source from Austria reported rebar from local and German manufacturers was available for about €615 delivered per ton.
In France, meanwhile, rebar from Italy was available in the amount of 605-615 per ton, according to sources.
Weekly price analysis
Fastmarkets’ domestic domestic shipments of steel reinforcing bars increased to €600-630 per tonne on September 24 from €630 per tonne on September 17.
And Fastmarkets estimated prices for domestic steel wire (mesh quality), delivered to Northern Europe, at 575-585 euros per ton on Thursday, compared with 590-600 euros per ton on September 17th.
In Italy, domestic rebar prices decreased by 10-20 euros per ton per week due to fierce import competition, lower scrap costs and weak demand caused by adverse weather.
In the north of the country, which traditionally forms the lower part of the range due to the high concentration of mills, rebar prices varied around €520-540 per ton of ex-work per week-Wednesday, compared with €530-550 per ton of Ex-work a week earlier.
In the south, rebar was available in the amount of 550-560 per ton of ex-work, compared to €570-580 per ton of Ex-work last week.
"It's been raining for several days now," the local processor said, referring to the impact on construction activity.
"Demand remains quite weak, and scrap metal prices have dropped by €10-15 per ton, while energy costs have dropped by several percentage points," a second Italian processor told Fastmarkets.
"This trend is reflected in the rather stagnant rebar market, which is in a downward phase, with buyers choosing to delay their purchases," the processor added.
Weekly price analysis
Fastmarkets’ for steel reinforcing bars (rebar), ex-factory in Italy, EUR 520-560 per ton on September 24, compared to €530-580 per ton on September 17.
Fastmarkets price estimate for steel wire (mesh quality) domestic, delivered to Southern Europe, which includes Italian and Spanish prices dropped to €580-600 per ton on September 24, dropping by €10 per ton to €590-610 per ton on September 17.
Fastmarkets’ Price estimate for Steel Reinforcing Bars