STEEL REINFORCEMENT PRICES

January 2005

Steel reinforcement prices have continued to increase following a surge that had occurred in mid 2002. Late in 2003, as the demand for steel products continued to increase, a general tightness affected steel scrap and all steel products, causing a huge rise in steel prices across the board. In April 2004 the European export price of HR coil rose above $450. This continued through the summer and prices rose about $500, exceeding the previous highest levels ever known, in the peak of 1995. On that occasion the price boom was confined to flat products and the prices of long products did not respond. This time price increases have affected all products and rebar is also over $500.

During the last quarter of 2004, steel prices seem to have stabilized. To this effect, it must be noted that JMV lowered their steel prices during December 2004.

© JM Vassallo Vibro Blocks Ltd 2003