ArcelorMittal increases the price of HRC sheet from 550 euros per tonne to 600 euros per tonne. According to analysts, this increase is the result of, among other things, rising CO2 emissions prices and an increase in the price of iron ore.
In turn, the prices for hot-dip galvanized sheet were increased to 700 euros per ton.
– The increase in the value of ArcelorMittal is the result of attempts to compensate for high iron ore prices and rising CO2 emissions costs, which are likely to rise in 2021, along with a reduction in the number of free allowances provided in the next term, says Lukasz Rudnik, analyst at Dom Maklerski Trigon.
As he stresses, there were 12 blast furnaces left in Europe at the end of the third quarter of 2020, up from 17 in the second quarter of 2020, which is why ArcelorMitttal is trying to take advantage of the limited supply of steel mills in Europe with high use of import limits (quotas are provided for individual countries who are currently unable to take advantage of public quotas).
“The duration of the recovery in the automotive industry remains unknown, we pay attention to next year’s regulations on CO2 emissions in vehicles and the currently emerging restrictions that may limit customer activity,” adds Lukasz Rudnik.