Price uncertainty on the domestic Russian rolled steel products is pushing the prices down

Russian economy is currently in a difficult spot. There are no indications of recovery in the construction industry. Big public and private companies have already stated that they will reduce capital expenditure this year, which will lead to a fall in demand on the rolled products. The negative price tendencies can also be explained by the weak demand from  both traders and end users. In the mean time it is impossible to compensate the reduction in demand via export sales. In April 2015 has been Russian manufacturers reduced their exports.

At the moment the price for the hot rolled coils with the thickness of 6-12 mm went down to 28400−28500 RUB./tn, CPT (Moscow with VAT). Cold rolled coils with thickness of 1 mm are available at 34500−34600 RUB./tn at the same conditions as stated above. Rolled steel is at roughly 32000 RUB/tn. It is highly likely that prices will get even lower in the newar future.