The Italian and European flat carbon steel markets in October showed a two-speed dynamic, as reported in the monthly market report by Assofermet Acciai, the association representing Italian distributors of scrap, raw materials and steel products. On the one hand, steel mills, supported by protectionist measures, are pushing for a price increase in Europe, and also in China, and across the Far East. On the other hand, service centers are held back by weak demand, especially in the automotive and home appliance sectors, which limits their ability to pass price increases on to end customers. Despite the upward trend, demand recovery expectations remain moderate and are postponed to the first quarter of 2025.
In the flat stainless steel segment, October closed with weak demand and price pressures, keeping margins compressed, Assofermet Acciai said. Stock levels seem to be mostly lower compared to the beginning of the year, while prices have stabilized without further room for decreases. Import demand remains weak, suggesting a market that may have reached the bottom while awaiting a recovery at the start of the new year.
October confirmed an annual trend of declining volumes and revenues in the warehouse segment. The construction sector continues to struggle, with reduced quantities processed for products like rebar and mesh. In terms of pricing, long and flat products remain stable, with some positive signs for structural tubing and a modest recovery for stainless steel.
Lastly, the tinplate sector is marked by significant anxiety among clients, who are increasing stock levels in anticipation of 2025 contracts. According to Assofermet Acciai, this trend follows the European Commission’s announcement at the end of October of an estimated dumping margin on Chinese imports of between 25 percent and 35 percent. This has raised concerns about potential supply difficulties from European producers, who are expected to implement substantial price increases.