According to the latest monthly market report published by Assofermet, the association representing Italian companies involved in the trading, distribution and processing of steel, scrap and non-ferrous metals, the Italian steel market continues to operate under conditions of widespread uncertainty and serious concerns, affected by the development of international crises and the lack of concrete prospects for diplomatic solutions, at least in the short term.
In the carbon sheet steel segment, the association said that The combination of armed conflicts and US protectionist policies, which have not yet found a balance, leads to a slowdown in demand from end consumers in European industry. The market is also weighed down by uncertainty surrounding the economic impact of the Carbon Border Adjustment Mechanism (CBAM), as well as fears ahead of the EU's new safeguard measure coming into force on July 1, which would see a 47 percent cut in available allowances and a doubling of the clearance fee for volumes exceeding quarterly allowances.
In this scenario, Assofermet noted, EU steel companies look likely to be able to support prices through trade barriers. than through any real increase in demand. No significant progress is expected in May, although service centers, despite lower sales volumes, may be able to return some of the profits needed to compensate for the new level of purchase prices. The increasing difficulty of supplying the EU market with all the brands needed to meet customer needs also remains a critical issue, as this was previously guaranteed by regular import flows, which are now seriously compromised.
The Association also referred to the recent initiative promoted by EUROMETAL, called the “Call to Action”, addressed to the governments of EU member states and the European Commission, calling for greater attention to the interests of European production. The document, also signed by Assofermet together with more than 400 European federations and companies, calls for measures to protect the European steel and metals industry, which is threatened by unfair competition, high energy costs and new global trade tensions. Requests include the extension of duties and CBAM on process and steel-intensive products, the introduction of the "Made in the EU" principle in public procurement, and the reduction of energy and bureaucratic costs.
The stainless steel sheet segment saw a slowdown in demand in April, in a market environment still subject to geopolitical tensions and higher costs
