Assofermet report outlines continued weakness across European ferrous raw materials market

Assofermet – Italy’s national trade association for steel, metals, scrap and hardware distribution, representing over 430 companies – has released its latest market note, outlining continued weakness across European ferrous raw materials.

These are the main results:

Ferrous Scrap (Italy & Europe)
Italian and European mills kept purchases minimal, buying only for short-term needs. Limited availability of new material held prices broadly stable. Rising Indonesian slab imports continued to distort the market, while the euro’s unfavourable exchange rate further pressured exporters.

International Scrap Markets
Turkey saw another cumulative USD 15/t increase, driven mainly by the need to secure supply rather than strong demand. Asian markets remained soft, widening the HMS1–shredded spread. In Europe, only Spain showed notable strength, with shredded up €10–12/t.

Stainless scrap remained weak: superalloys saw almost no demand, and cobalt-rich high-speed steels lost further ground.

Pig Iron
Ukrainian pig iron rose by around USD 10/t, with stronger buying ahead of CBAM enforcement. Significant arrivals from Brazil, Ukraine and India are expected in December. Russian pig iron in Turkey registered minor increases, but low demand kept the market muted. A sharp USD 80–100/t gap persists between Turkish and European prices.

Hematite Pig Iron / Foundries
Foundry demand remains depressed, with production cuts and just-in-time purchasing. EU safeguard measures on ferroalloys added further cost concerns. Orders continue shifting to more competitive Turkish and Indian suppliers.

Spheroidal Pig Iron & Ferroalloys
Safeguard measures surprised traders and unsettled the ferroalloy market. Manganese alloys saw little activity, though Q1 2026 contracts indicate upward price pressure due to tight supply.

Source: Assofermet, Photo: Fotolia