[SMM Steel] UK steel industry remains dependent on imports despite new trade protections

[EU] European HRC buyers largely paused new bookings while waiting for clearer details on the EU’s upcoming import quota allocation system. Transactions in Northern Europe were reported at €670-690/t ex-works for July-August delivery, while Italian domestic offers remained around €700/t delivered. Downstream demand stayed weak amid high inventories across ports and supply chains. Import offers remained limited and mostly uncompetitive as Asian mills resumed operations with higher prices, narrowing the gap between domestic EU prices and import costs after including CBAM expenses.

Zhangjiagang HRC port inventories stood at 316,000 mt this week, down 5,000 mt WoW, a decline of 1.56%; the YoY decline was 19.80% on a solar calendar basis and 22.93% on a lunar calendar basis.

On May 8, 2026, iron ore futures experienced oscillating movements in the morning session before edging lower in the afternoon. The main contract I2609 closed at 814.5 yuan/ton, down 0.06% from the previous trading session. Port spot prices remained largely flat compared to the day before.