Posted on 09 Sep 2025
The global long steel market remains unstable and unpredictable, with the outlook unsatisfactory, says the International Rebar Exporters and Producers Association (Irepas).
Long steel producers face very weak demand, intense competition, and pressure from Chinese and regional exports. Mills are cutting production but are still struggling to operate amid zero profit margin. Imports displaced by US tariffs are disrupting markets worldwide.
“The price of scrap has moved sideways and the main problem is that mills are operating with no profits due to low capacity utilisation, which creates real damage for the future,” the association says.
The recent slight domestic price increases in China and possible interest rate cuts could support sentiment, but the overall situation remains fragile.
“Market fundamentals and economic policies are unpredictable. The outlook of the market for the next quarter is also unstable and unsatisfactory, with weak demand and policy uncertainty pointing to continued weakness of the market,” the association notes in its latest short-range outlook seen by Kallanish.
Imports keep flooding into Europe, while weak demand is persisting. Summer production halts in the EU may help restore some balance, with hopes for a slightly better September. German mills are trying to recover lost ground after sharp price drops, Irepas notes.
In the US, demand is very soft and mostly supplied by domestic mills. Despite import duties, domestic prices continue to ease. US capacity utilisation remains at below 80% and could fall further as new capacity comes online.
“US President Trump has now had five of his tariff rulings challenged by courts of appeals. This will throw the market into uncertainty, more than before. It may take at least six months to have the appeals go through the court system all the way to the Supreme Court,” Irepas points out.
Source:Kallanish
