News Room - Steel Industry

Posted on 27 Aug 2008

Construction steel prices likely to rebound

According to market analysis, the prices of long products for construction will rebound, after having dropped by about 30 percent recently.

The reason is that construction projects in the Middle East will recover after the summer. However, the price rebound will be limited by the weakening trend in the global economy.

This year the prosperous construction projects in the Middle East stimulated steel demand. From the beginning of June, the torridity of the summer has made construction in the Middle East slow and thus the price of long products have slid.

Steel prices have peaked this year, buoyed by soaring iron ore and coal costs, but the price rise for mills in the second half will still face some obstacles.