Northern European wire rod prices have increased by €5/tonne ($5.5/t) this week due to continued demand and higher scrap prices, sources tell Kallanish. Most expect values to continue to ramp up amid more activity in the construction sector.

“Trading activity is better and increased scrap prices in Europe are having an impact on the wire rod market,” a Netherlands-based producer notes.

Domestic transaction values for drawing-quality wire rod are at €630/tonne ($684/t) ex-works and mesh-grade wire rod is at €620/t. Producers are asking for €640/t ex-works, on average, for mesh-quality rod.

Import quotes from outside the EU, currently at €590-610/t cfr Rotterdam, are not attracting much interest, another participant confirms.

“We continue to expect more price increases for wire rod amid more demand from the steel market in Europe, especially in construction,” he adds.

Nationwide average German prices for old thick scrap sort 3 are now at €328/t, while new scrap sort 2/8 is at €330/t and E40 shredded scrap at €335/t.

In Austria, scrap prices also increased significantly this month, by €25-30/t depending on the sort, amid more activity in the market. Old scrap sort 3 is thus at €330/t and new scrap sort 2/8 at €320t.

Netherlands-based Van Merksteijn and Germany’s Badische Stahlwerke, part of Südwest Beteiligungen, recently said they plan to merge their reinforcing steel businesses in 2025 (see Kallanish passim).