Posted on 11 Nov 2019
Italian domestic hot rolled coil demand is finally picking up as mills return to selling after a period of deep stagnation. While some mills are increasing their prices, others are mulling increases. However, uncertainty is introducing caution into every increase, making price movements slow to happen.
Sources tell Kallanish that news of Arvedi coil production stoppages and also the fact that some importing countries such as Turkey have increased prices by $20/tonne, is now pushing buyers to begin purchasing.
This week domestic prices remain stable month-on-month for HRC, at €380/t ($419/t) base ex-works, although €390-395/t is also being achieved. This is a price being paid by re-rollers who usually pay less than service centres, sources say.
Service centres are still holding off from buying as their bids are considered as being too low by producers. While some buyers and steelmakers are forecasting a small rebound in November, service centres believe prices will keep falling over the final two months of the year.
