NORDIC STEEL MARKET
ROUNDUP FROM MEPS
According to MEPS, domestic
selling figures across the Nordic region increased, in early April.
Advances in hot rolled coil selling figures were being driven by
rising mill input expenditure. Further hikes are likely in May.
Rising raw material costs put inflationary pressure on hot rolled
plate selling values. Furthermore, there was a lack of competitively
priced imports from Russia and Eastern Europe. Demand was fair.
Buyers of cold rolled coil have accepted the mills’ argument that
higher prices were necessary in April. However, market fundamentals
may not support higher selling figures through the summer. Supply
chain participants believe that the current, steady level of demand
is likely to persist for the foreseeable future.
Prices for galvanised sheet and coil have increased this month and
further hikes are likely in the short term. Delivery lead times from
regional mills have stretched due to earlier plant outages and
strong demand from the automotive sector.
Order volumes for drawing quality wire rod are good, in Scandinavia
and northern Europe. Suppliers from Russia and Ukraine have raised
their price offers, substantially. Domestic selling figures advanced
in April and are expected to rise again in May.
Increases in structural section transaction values have been
justified by growing mill input expenditure. Delivery lead times
have lengthened by 1 or 2 weeks. Producers are likely to seek
further, substantial hikes, in the near future.
Sales volumes of rebar are steady, rather than recording the usual,
seasonal pickup. Nonetheless prices have risen, due to growing scrap
costs, and fundamentals in the wider European market.
Consumption of merchant bar is relatively stable. Despite this,
buyers accepted the steelmakers increased price offers. Further
advances are likely, as the mills attempt to reverse recent cuts in
Steel Review Supplement - April Edition
Also See: MEPS
Nordic Index and MEPS Nordic
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