EU Plate Prices Climb on
Reduced Import Volumes and Elevated Slab Costs
Further upward pressure on European commodity
grade plate prices was noted, in February. Rises of between €20 and
€50 per tonne were implemented, depending on the source of supply.
Slab costs continued to escalate. Plate imports are less disruptive
than of late, as overseas quotations move up.
In Germany, an upward price adjustment was secured, this month.
Stock replenishment is underway at several large distributors. Sales
to the earthmoving and mining sectors have strengthened. Overall
demand is stable. In the linepipe market, where several large
projects will be finalised during 2018, some uncertainty regarding
future activity levels is developing.
French selling values rose, in February. Further increases are
anticipated by buyers, to offset more expensive slab costs.
Nonetheless, distributors struggle to pass on the mill hikes to
their customers. Although major stockists and fabricators booked
significant quantities, in December, they are looking to purchase
again as delivery lead times are quickly increasing.
Slab feedstock is expensive and difficult to secure, forcing Italian
rerollers to instigate price increases, this month, for finished
products. The economy is improving and, with it, sales of plate.
End-user demand in the UK is relatively quiet, at present, although
a number of service centres report better sales volumes. The full
implications of the collapse of construction giant, Carillion, are
unlikely to be felt until the end of the first quarter. Market
values moved up in the last few weeks. Offers from continental
Europe and from India are higher than those for local material.
Strong competition continues to blight the distribution sector, with
many stockholders working on very low margins.
Belgian figures were boosted, as a result of relatively good
consumption, rising slab costs and expensive import quotations. In
Spain, domestic prices rose. Offers from India are considered to be
too costly, at present.
Source: MEPS -
European Steel Review
- February 2018 Issue
Also See: MEPS
All Products Composite Purchasing Price & Index
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