European factories hit by imports from Eastern Europe and China

Prices for rolled steel and other metal products tend to decrease due to imports from Eastern Europe. Reinforcing bars from Poland, bars from Italy, hot rolled HRC and cold rolled CRC sheets from Russia are some of the contributing factors that negatively affect the viability of factories in Central Europe through price reductions. This is especially true for the HRP market, which seems to be suffering more than the rest.

Poland, the Czech Republic and Northern Italy are aiming to sell as much as possible in Germany, which has the only market in the EU that still guarantees regular and long-term demand as well as timely payment.

Despite the weak position of Indian manufacturers in the European market, Chinese factories are ready to apply a heavy discount starting in mid-February. Information has already appeared on the market indicating a price level of $ 600 - $ 610 per ton. CFRFO terms of delivery for S355J2 + N give chances to go below $ 600 in the near future.

While Europe is trying to raise prices, one of the main Italian pipe manufacturers bought HRCs in 1.5 mm and 1.8 mm thick at 415 and 418 euros per ton, CFRFO Ravenna, as seen from Turkey. Another major Italian buyer continues to buy from Russia at prices ranging from EUR 400 to 405 per tonne, FOB Novorossiysk.