While it is too early to call a recovery, Europe's steel market may have bottomed out as steel prices in the European Union are starting to climb, Geert van Poelvoorde, ArcelorMittal's (MT +6.5%) top executive for flat products in Europe, tells Bloomberg.
Prices for North Europe hot rolled coil rose by €15/ton to €480 in the week through June 3, the biggest increase in more than a year, according to Kallanish Commodities - "far from sufficient," with prices still €50-€60 below year-ago levels and costs much higher, Poelvoorde says.
The market may start to recover in this year's Q4 if a rebound in the auto sector materializes and if the European Commission limits low-cost steel imports flooding the continent, van Poelvoorde says.
Source: Seeking Alpha