ArcelorMittal SA is raising its European steel
prices as it tries to pass higher energy costs onto customers.
Hot rolled coil prices delivered in
November will be hiked by 13% to 850 euros a ton, according to a person
familiar with the matter. The move, which was first reported by Argus Media, is
to offset increased production costs partly driven by Europe’s ongoing energy
crisis.
Other products made by the continent’s biggest steelmaker are seeing price
hikes, according to Kallanish Commodities Ltd., which cited unidentified
sources. The price of commodity-grade long steel, used in construction and
typically made in a very power-intensive way, will be increased by 150 euros a
ton, Kallanish reported.
Surging European power costs are
hurting energy-intensive metal producers on the continent, forcing some to halt
output entirely. Previously steelmakers have succeeded in offsetting them
through surcharges and price increases, but that may become more difficult if
the crisis causes demand to falter.