The Romanian long products market came under increased pressure this week, as the already weak demand was accompanied by the arrival of previously ordered Italian shipments of fittings in significant volumes.
According to market sources, several Italian suppliers had previously completed shipments to Romania, with a total volume estimated at about 50,000 tons. Although these orders were not completed this week, their entry into the Romanian market reinforced buyers' expectations of lower prices and put additional pressure on sentiment. At the same time, the onset of the summer recession, liquidity problems and limited cash flows continue to limit trading activity, while many market participants do not expect a significant recovery in the near future.
As for imports, Italian-made fittings have been in the spotlight this week due to the arrival of these previously ordered shipments. Sources indicate that the FOB price for these sales was about 600 euros per ton, which roughly corresponds to about 620-625 euros per ton in Romania, depending on the cost of transportation and the terms of the transactions. These levels have created more competitive market conditions and increased pressure on both import and domestic prices, especially given that consumer activity remains weak. Offers from Greece also decreased this week: rebar is currently being sold at around 650-660 euros per ton in Romania, and wire rod is priced at 665-670 euros per ton in Romania, compared to 655-665 euros per ton in Romania and 665-675 euros per ton in Romania, respectively, last week. The supply of Bulgarian rebar remains stable week after week and amounts to about 650-660 euros per ton, excluding prices for Romania.
As for imports from non-EU countries, the supply of Egyptian rebar remains stable at 535-555 euros per ton compared to Romania's supply, while the supply of wire rod remains at 555-565 euros per ton. Turkish fittings are currently offered at a price of about 535-550 euros per ton, compared with a wider price range last week of 530-555 euros per ton compared to Romania, based on the exchange rate of €1 = $1.14.
In the local spot market, domestic rebar prices in Romania decreased to about 620-630 euros per ton from the warehouse this week, compared with 635-640 euros per ton from the warehouse last week. The pressure from competitive imports has exacerbated the already weak demand, while traders are still storing relatively expensive materials purchased earlier. Meanwhile, wire rod prices are currently estimated at 680-690
