Depressed demand, high input costs, and bearish sentiment have continued to weigh on the Southern European rebar and wire rod markets. As of October 2, prices for steel reinforcing bar (rebar) in Italy have fallen to €580-600 per tonne, down from €590-610 per tonne the previous week. Similarly, prices for steel wire rod (mesh quality) in Southern Europe have decreased to €600-620 per tonne, down from €620-630 per tonne.
Market participants report that weak demand, cheap imports, and an uncertain outlook in the building sector are contributing to the price declines. Despite attempts by producers to raise prices, buyers remain cautious and are in a “wait and see” mode. The upcoming winter holiday season is also expected to further reduce demand, as customers are reluctant to purchase large quantities.
Rising scrap prices, driven by a stronger Chinese market, have added to the pressure on European mills. The Chinese government’s recent stimulus measures have improved market sentiment, leading to higher iron ore and steel prices. However, the overall outlook for the Southern European long steel market remains uncertain, with no immediate signs of recovery.
