Prices for long positions in Romania continue to rise, but liquidity problems and low demand negatively affect sentiment
The Romanian long position market continued its upward movement this week, with sellers maintaining a firmer stance following recent changes in EU quotas and ongoing uncertainty related to CBAM. However, demand remains low and liquidity is still a problem, which is why both buyers and sellers are cautious about the recent price increases. There was a slight improvement in customer activity compared to last week, as some buyers opted to purchase materials before further price increases, while sellers also completed some sales by offering discounts on on-time or advance payments and large shipments. Also, sources say, the main question is whether the recent growth can be fully sustained in modern market conditions, as traders have not seen much interest in testing the upper limit of the workable level so far.
"CBAM remains one of the main challenges for the local market. If the EU does not mitigate these measures or reduce the additional costs of materials shipped outside the EU, many companies may face difficulties, as these costs cannot be fully reflected in final sales prices under current demand conditions," said Romanian trader SteelOrbis.
In the local rebar spot market, prices rose to about 640-650 euros per ton from the warehouse, compared with 620-640 euros per ton from the warehouse last week. However, according to sources, lower prices - about 630-635 euros per ton from the warehouse - are still relevant for large shipments and on prepayment terms.
The domestic manufacturer Beltrame Group remained calm this week, and its offers for the supply of fittings from the plant still amount to about 635-640 euros per ton, which has not changed compared to last week. Market sources report that business activity remains very limited, while the availability of materials is also reported to remain low.
In the wire rod segment, domestic prices also increased to about 695-705 euros per ton from the warehouse, compared with 685-695 euros per ton from the warehouse last week. However, compared to rebar, growth remains more limited, as the demand for wire rod is still lower.
Regarding imports, no new deals have been heard this week, while supply levels continued to change in different directions depending on the origin. In the EU segment, prices remain higher due to recent cost concerns, while Romanian buyers remain cautious about new orders as they already have inventory and demand remains low. According to sources, the Italian fittings are currently