In the final days of February, the majority of the big mills raised their purchase prices by nearly โฌ15/tonne ($16.01) for all categories, according to a local source. “Only bids for the E1 grade went up this week by โฌ25/t. In the upcoming days, it is anticipated that the other characteristics will rise by an average of โฌ15/t, following this rise.” Another market participant claims that despite manufacturers’ lower production and the slowdown, demand for new E8 quality continues to increase.
In Spain, demolition-quality grade E3 and E40 scrap are currently being sold for โฌ405/t and โฌ440/t, respectively, both shipped. On the same base, E1 quality costs โฌ390/t.
The Spanish rebar market, on the other hand, has also experienced a sizable price rebound. Local buyers haven’t agreed to the higher prices yet, but mills are debating whether to increase selling prices to over โฌ800/t ex-works in the coming days.
A stockist notes that since Monday, Megasa and Siderrgica Sevillana have also started to sell rebar at a higher level, supported by the new market situation and better demand from abroad. Last week, Celsa provided material at higher prices than the other market players.
The size of the rise has so far been too much for the market to absorb. “At the present price, we are neither buying nor selling rebar. Due to the sharp rise in scrap offer prices, the steel companies are maintaining their market share, and demand from overseas has increased as a result of the material shortage brought on by the earthquake in Turkey, according to another seller.
The majority of suppliers and distribution centers affirm that the situation is once again having an impact on the nation’s building industry.
A representative of the construction industry states, “The sector remains weaker in this first quarter compared to the strong start we had in 2022, but we are confident that there will be a slight recovery throughout the year, driven by EU funding under its Resilience Facility, an impact that is yet to come. He continues, “The improvement will rely on macroeconomic developments, interest rates, inflation, energy costs, and, above all, on the recovery of investments and the implementation of public works.
In Spain, rebar is presently sold on a domestic basis for โฌ475-495/t ($506.91-528.25). Transaction prices are at โฌ760โ780/t exโworks after adding โฌ262/t size extras and โฌ23/t loading costs.
