According to Centrum report, long steel prices will remain under pressure due to weak demand and high inventory in monsoon. However, domestic hot rolled coil (HRC) prices have remained largely stable due to safeguard duty on imports and strong global prices.
New Delhi [भारत]July 14 (ANI): According to a report by Centrum, domestic steel prices are expected to remain mixed in the coming months. Long steel prices are likely to remain under pressure due to weak demand and high inventory levels during the monsoon season.
The report said that global and domestic steel prices showed mixed trends. U.S. hot rolled coil (HRC) prices rose nearly 3 percent month-over-month, marking the eighth consecutive month of gains. In contrast, European HRC prices fell nearly 4 percent for the second consecutive month, while China’s export HRC prices fell nearly 1 percent after six months of consecutive gains.
Situation of steel prices in India
In India, domestic HRC prices remained largely stable supported by safeguard duty on imports and strong global prices. However, “Long steel prices saw a sharp decline, with primary rebar falling ~9% month-on-month, giving back a portion of the strong rally seen since late 2025.” The report attributed the decline to weak construction activity, high inventories, aggressive discounting by traders and increased competition from secondary rebar producers.
Decline continues in July also
Centrum said weakness continued in July, noting that “spot HRC and primary rebar prices are ~Rs 210/tonne and ~Rs 3,020/tonne, respectively, below June average.” It also said 304-grade stainless steel prices fell nearly 3 percent month-on-month in June, but remained nearly 19 percent higher than the same period last year.
Raw material price situation
In raw materials, Australian iron ore prices fell nearly 7 percent month-on-month. In India, NMDC cut lump ore prices by Rs 250 per tonne and fine ore prices by Rs 150 per tonne. Australian coking coal prices rose nearly 2 percent month-on-month and 36 percent year-on-year due to limited spot supply, strong pricing by suppliers and strong demand from China following disruptions at domestic mines, the report said. South African non-coking coal prices remained largely unchanged from last month, but were still 22 percent higher than a year earlier. In the non-ferrous metals segment, aluminum was the weakest performer.
How will the market be in future?
On the outlook, the report said, “Going forward, the domestic steel pricing environment is likely to remain mixed. Long steel prices are expected to remain under pressure amid monsoon-related demand weakness and increased inventories, while flat steel prices should remain relatively stable supported by lower imports and stable raw material costs.” (ANI)
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