Indian CRC export offers to Europe fall w-o-w amid summer slowdown

Imported cold rolled coil (CRC) offers from India to Europe have decreased by $10/tonne (t) w-o-w, now ranging from $705-710/t CFR Antwerp ($655-660/t FOB east coast India), down from $715-720/t CFR Antwerp the previous week. Despite this drop, a small deal has been reported at similar price levels.

The European domestic steel market is currently experiencing minimal activity and remains sluggish. While most investors are pessimistic about the market's outlook, some steel mills are hopeful for a potential price increase. Overall demand continued to be low, and market participants anticipate that trading conditions may improve in September.

Chinese CRC export offers decreased by $15/t w-o-w to $520/t FOB as compared to $535/t FOB.

Chinese hot rolled coil (HRC) offers on the Shanghai Futures Exchange (SHFE) have recently shown signs of improvement after a period of decline. SHFE HRC futures rose by RMB 66/t ($9/t) w-o-w to RMB 3,331/t ($467/t), up from RMB 3,265/t ($458/t) the previous week. On a d-o-d basis, the prices remained range-bound.

Outlook

The European market outlook remains mixed. Despite weak consumer demand, European steel mills are optimistic that restocking efforts and an ongoing European Union (EU) investigation into unfair trade practices might lead to price increases after the summer.