Steel hot-rolled coil prices in Europe have reached a low point, according to industry insiders. Market activity was subdued on April 19, with limited trading volumes. Although the downward trend in prices slowed down, sources suggest that prices may have bottomed out. Restocking remained quiet in the hot-rolled coil markets, with distributors and steel service centers keeping inventories at moderate to low levels due to weak downstream sales.
Despite some trading activity related to restocking, there are concerns that this won't lead to a sustainable price rebound. Prices for hot-rolled coil in Europe ranged from €600 to €640 per tonne, with buyers and sellers mostly operating within this price range. Market experts believe that the region has likely hit rock-bottom in terms of prices, but a significant rebound is not expected soon due to challenges faced by steel-consuming sectors in the EU.
Worldsteel's outlook indicates that the EU steel demand is forecasted to show a meaningful recovery in 2025 after a technical rebound in 2024, with the region facing various challenges such as geopolitical shifts, high inflation, and energy prices. In Southern Europe, prices for steel hot-rolled coil also experienced a slight decline, with buyers estimating achievable prices within a specific range. Asian suppliers are aiming to maintain prices above €600 per tonne for shipments to Europe, despite lower-priced offers from Saudi Arabia earlier in the week.