Demand for billet surges in Mediterranean region

2018-05-31 10:50:23

Offer prices for imported billets from the Black Sea region are steady week-on-week in Italy. Local buyers have not purchased imported material lately however due to the current price uncertainty. This is causing stagnation in the domestic market and a loss of sales volume across all steel products.

However Mediterranean region billets purchases are continuing and Black sea billet sales are being supported by strong demand, particularly from Northern African countries, sources tell Kallanish. Billet from the Black Sea into Italy are being offered at $515-520/tonne cif and have been sold to Northern Africa at $520/t fob on average, sources say. Most producers in the CIS have now filled their order books for July.

Meanwhile some major Italian longs’ producers are now selling billet domestically to other steel makers. Domestic billets sold to smaller re-rollers are now at €440/t ($516/t) delivered, having lost €5/t month-on-month, sources suggest.