Complete Steel Collection
European flats prices are getting up
21. 8. 2009
Sheet prices in Europe have risen in August for the second month in a row after the
low point in Q2, according to mills and traders.
A mill source said the market is tight across Europe for deliveries in September and
October. “Some UK buyers have had their allocation cut for these months. Only
regular customers can rely on delivery this year for new orders this month in the UK,”
he said.
A source at another mill said they have closed their September bookings. “Orders
are very quiet because of the holidays. There have been few sales in last two
weeks,” he said. “The EU market is very tight. The market is still rising but may fall
back in December. The price difference between northern and southern Europe is
falling because of tight supply.” “Most buying is from local mills because of the lack of imports.
Traders are only importing when they have a firm order because of losses last year and lack of credit,”he said.
Traders are only importing when they have a firm order because of losses last year and lack of credit,”he said.
A trader said prices for new orders from producers had risen rapidly in August.
“Europe is starved of steel and there are very few offers for imports. The main
domestic sources are either running at low capacity or are several months late with
their deliveries.
Mills in South America and some in Russia have stopped making offers in Europe
because of more attractive prices elsewhere, mainly East Asia, the trader said.
One mill source said that although offers in East Asia are high, bookings are
probably much lower and when freight is taken into account, Europe and the Middle
East are usually more attractive for EU and Russian mills.
