FOCUS: Rapid use of EU safeguard quotas will support prices, deepen material shortage

Less than a month after the start of the April-June 2021 safeguard quota period for imports of steel materials into Europe, the quotas for a number of products have been either completely exhausted or almost filled.

And in February this year, the European Commission started an investigation into the possible extension beyond June 30 this year of existing safeguard measures affecting 26 steel product categories imported into the EU.
Fastmarkets looks at the effects that these restrictions in access to imports has had on domestic prices.
Flat steel
Buyers of flat steel products in Europe have been struggling to secure the volumes they need to re-stock due to a domestic material shortage. As a result, they were forced to turn their attention to overseas alternatives, but those have also been limited by both safeguard and anti-dumping measures.
Fastmarkets calculated its daily steel hot-rolled coil index, domestic, exw Northern Europe, at €965.00 ($1,160.35) per tonne on Thursday, up by €51.67 per tonne week on week and by €167.00 per tonne month on month.

Thursday’s index was based on market participants’ price estimates...

Published

Maria Tanatar

Carrie Bone

Ross Yeo

Julia Bolotova

April 22, 2021

19:35 GMT

London, Dnipro