Marcegaglia Raises Pipe Prices Amid Rising Costs in Logistics and Galvanized Steel

Italian steel and pipe manufacturer Marcegaglia has announced a price increase for its carbon and galvanized pipes, citing rising logistics and raw material costs. This adjustment reflects significant growth in both internal and external transport expenses, alongside a sharp rise in the price of hot-dip galvanized coil used in pipe production. The move signals important shifts in supply chain economics affecting the European metals sector.

Impact of Rising Logistics and Raw Material Costs on Marcegaglia Pipe Prices

Marcegaglia’s Sales Director, Enrico Paladini, explained that external logistics costs have surged due to higher fuel prices, labor expenses, and tariffs. Meanwhile, the company introduced a surcharge for internal logistics linked to minimum order volumes. Paladini highlighted that post-pandemic consumer behavior has shifted, with customers now placing smaller, more frequent orders that combine different pipe specifications. This change increases loading and unloading times, resulting in additional costs. Transport companies have also imposed penalties for loading times exceeding two hours, further pressuring logistics expenses.

To counterbalance these rising costs, Marcegaglia now applies a surcharge of €20 per ton on orders smaller than two batches of six-meter welded pipes. The company expects this measure to restore economies of scale and improve operational efficiency. Additionally, a “conditional delivery” fee will apply for customers requesting special transport services, with costs depending on specific delivery requirements.

Galvanized Pipe Prices Rise Due to Hot-Dip Coil Cost Increase

Marcegaglia is also increasing the nominal price of galvanized pipes due to the widening gap between hot-rolled and galvanized coil prices. This gap has risen to €130-140 per ton, up from €120 per ton previously. The price change results from the European Union’s trade defense policies and stronger demand for galvanized steel across Europe.

According to Paladini, the European Commission’s measures have effectively reverted import volumes to levels seen in 2015. Upcoming policy decisions in September, including the Carbon Border Adjustment Mechanism (CBAM) and other protectionist actions, could further influence hot-rolled coil purchases. Several European pipe manufacturers and transshipment companies are reportedly considering similar price hikes to manage rising input costs.

Meanwhile, prices for hot-rolled coil in Europe showed moderate growth in August 2025, despite weak demand. In Western Europe, prices reached approximately €570 per ton ex-works, up 4.6% compared to the previous month. Italy recorded prices near €535 per ton ex-works, a 1.9% increase, while Southern Europe saw imports rise by about 6.5% to €495 per ton CIF. These trends reflect ongoing supply chain adjustments amid rising costs.

SuperMetalPrice Commentary:

Marcegaglia’s decision to raise pipe prices reflects a broader trend in the metals industry where rising logistics costs and evolving EU trade policies reshape supply chains. The company’s move to penalize smaller orders incentivizes bulk purchasing, which could shift buyer behavior and improve efficiency. Meanwhile, the growing price differential between hot-rolled and galvanized coils signals tightening supply and increased demand for corrosion-resistant materials. As the European Commission tightens trade defense and carbon regulations, metals producers and consumers must prepare for further cost volatility and strategic adjustments in sourcing and inventory management.