NORDIC Steel prices continue to tumble in February

UNITED KINGDOM February 24 2016 10:03 PM

LONDON (Scrap Register): NORDIC steel prices continue to fall, this month, because of weak demand and overcapacity in Europe, said MEPS International in a snippet.

In February’s edition of the European Steel Review Supplement, MEPS reports that domestic selling figures throughout the region have slipped further across flat and long products after reducing for much of last year.

European manufacturers proposed raising prices for first quarter business. However, buyers resisted these moves as sales activity remains sluggish.

Furthermore, high import penetration of non-EU material continues to put negative pressure on domestic transaction values. MEPS noted that local producers lowered offers to secure orders, this month. Long product selling numbers were marked down because of declining scrap costs.

Steady demand from the automotive and construction sectors could lead to European producers pushing for price advances over the coming months. At this stage, it is unclear whether any hikes will be accepted by the market.