In the UK there is a weaker demand for steel compared to the previous expectations, but in recent weeks activity has increased steel service centers, reports the British research Agency MEPS.
Recent release of the IHS Markit / CIPS shows that the purchasing managers ' index (PMI) in the UK in April fell to 8.2. This is the lowest figure since the indicator was first introduced 23 years ago. A reading below 50 indicates reduction of purchases and sales.
Analysts point out that a number of service centres continued to operate throughout the period of quarantine with a partial reduction of staff. Now open the rest. While they have enough stock of rolled steel for sale, and place new orders at factories in the third quarter, the British distributors are not ready yet.
MEPS reports that prices for flat-rolled products for April in the UK fell by £ 20 per tonne, while prices for long products, which until pandemic has been increased by 15 pounds, fell again to the level of March.
