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Assofermet: Italian steel market weak, some positive signals emerge but outlook difficult

Tuesday, 11 February 2025 15:50:12 (GMT+3)   |   Brescia

The Italian steel market in January this year registered unsatisfactory results, although there are some positive signals coming from the increased orders volumes of service centers. This is what emerges from the monthly report of Assofermet Acciai, the steel division of Assofermet, the association representing Italian distributors of scrap, raw materials, and steel products.

Italian mills have increased their quotations, and Assofermet believes this is due to the protectionist measures sustained by EUROFER, which Assofermet opposes strongly as they believe they could jeopardize the European manufacturing industry.

There might be an upward movement in steel demand during February as a consequence of speculation in anticipation of possible price increases. This is why the key factor to be monitored is the actual number of orders coming from the manufacturing industry.

As for stainless steel flat products, in January service centers observed slow demand and lower-than-expected distribution prices. Material availability was at average levels, but logistics encountered issues linked to delays in customs clearance. Moreover, quotas for cold rolled products from Taiwan and quotas for hot rolled sheets coming from China are already exhausted.

A gradual recovery in quotations is expected in the next few months, as current levels are not sustainable for the supply chain.

At warehouses, 2025 began with a positive spark, but the scenario is similar to the end of 2024 - demand is weak and turnover expectations are for a 50 percent decrease compared to the levels of 2022-2023.

The general sentiment is uncertain, with new tariffs on the one hand and elections in various European countries on the other. The outlook is for a new and more nationalistic political scenario, which could endanger export-focused countries like Italy.

To conclude, the tinplate industry showed a slight recovery with a stabilization of prices in Europe, a definition of tariff percentages on imports from China and stronger demand. Imports, on the other hand, are still under pressure with the import quotas for the first quarter exhausted for Turkey and India.


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