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Domestic prices hold steady but sentiment remains subdued as buyers weigh import gaps and regulatory risks.
European hot-rolled coil (HRC) prices remained largely stable on May 8, though market participants reported a modest softening of EUR10–20/mt across regions.
Sources cited subdued activity, weak outlooks, and uncertainty around the EU’s Carbon Border Adjustment Mechanism (CBAM) as key factors limiting upward momentum.
“Prices have been pretty stable overall, but we expect a small dip in the short term,” a mill source said. “We’re not seeing a lot of action in the market right now, and the outlook remains fairly weak.”
Regional Pricing Snapshot
- HRC ex-works Ruhr: EUR640/mt (down EUR5 day-over-day)
- HRC ex-Italy: EUR620/mt (stable)
- HRC CIF Southern Europe: EUR530/mt (stable)
- HRC CIF Antwerp: EUR540/mt (stable)
Despite the current bearish tone, some optimism lingers for the second half of 2025 as buyers anticipate market stabilization. However, the price gap between domestic and imported material, combined with regulatory ambiguity, is a drag on sentiment.
“Import activity is quieter, and there’s little insight on where it will go,” said the source. “CBAM is complicating matters. People are trying to calculate the actual costs, but too many details are still pending from the commission.”
CBAM’s Unclear Impact Weighs on Trade
The Carbon Border Adjustment Mechanism, intended to level the playing field for EU steelmakers, remains poorly defined for many operators. While it aims to impose carbon costs on imported materials, traders and buyers say the lack of concrete guidance is stalling purchasing decisions.
With CIF imports from Southern Europe and Antwerp priced EUR90–100/mt below domestic offers, the uncertainty around CBAM is delaying potential arbitrage moves.
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