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European hot rolled coil (HRC) prices remained stable this week primarily due to weak demand and a lack of bullish momentum. Despite attempts by steel mills to raise prices, the market has not responded, largely due to oversupply. The current actual transaction price for Northern European HRC is estimated to be between €630/tonne ($684/ton) and €650/tonne EXW, with HRC prices for June to July delivery at €640-€670/tonne EXW ($694/ton-$726/ton). Week-on-week prices have remained largely stable, with an increase of about €11/tonne EXW for the month.
In July, the ex-works price for Italian HRC is €630-€640/tonne EXW, down approximately €20/tonne EXW from last month, indicating that prices have essentially hit bottom. Clearly, previous attempts by European steel mills to raise prices to €740/tonne EXW ($800/ton) have not been successful.
On the import side, July shipments of HRC from Vietnam are priced at €580-€590/tonne CFR ($629/ton-$640/ton). HRC prices from India are €590-€600/tonne CFR ($640/ton-$650/ton), and offers from Taiwan, Japan, and South Korea are between €600-€620/tonne CFR ($650-$672/ton).
International Market Dynamics
- US Revokes Section 232 Tariff Exemptions on 12 Steel and Aluminum Products
On May 20, the U.S. Department of Commerce’s Bureau of Industry and Security announced the revocation of Section 232 tariff exemptions on six steel products and six aluminum products. These products had previously been exempt due to their inclusion on the Commerce Department’s general approved exclusion list.
- Turkey’s Steel Exports Increase by 35% in April
The Mediterranean Ferrous and Non-Ferrous Metals Exporters’ Association (ADMIB) reported that Turkey’s steel exports in April increased by 35% year-on-year, supported by a delayed recovery in global market demand. Specific tonnage details are not yet available.
- USITC Makes Final Affirmative Determination on Anti-Dumping and Countervailing Duties on Non-Refillable Steel Cylinders
On May 16, 2024, the U.S. International Trade Commission (ITC) voted to make a final affirmative determination of injury in the anti-dumping and countervailing duty investigations concerning imports of non-refillable steel cylinders from India. The ITC found that the alleged dumping and subsidizing of these products caused material injury or threat of material injury to the U.S. domestic industry.