Factors Driving Slab Price Movements in Europe
In May 2025, slab prices in Europe dropped by $10 to $20 per ton. Regional and international market dynamics caused this decline. Asian suppliers entered the U.S. market, but their participation may not last due to tariff challenges and regional price shifts.
Since the start of the year, slab prices FOB Black Sea have stayed between $430 and $455 per ton. Prices increased by $15 per ton in mid-February, followed by another $10 per ton hike by mid-March. These increases mirrored trends in Turkey, where slab prices rose alongside higher prices for finished products.
Impact of Russian and Asian Slab Imports on Europe and U.S. Markets
According to Steelorbis, Chinese slabs in Europe now price between $510 and $515 per ton CFR. This marks a $10 to $15 decline from early May. Slabs from Russia and Asia for Hot Rolled Coil (HRC) production have dropped to $480 to $485 per ton CFR from $500 per ton earlier in May.
Russia remains a crucial supplier to Turkey. In Q1 2025, Turkish imports of Russian slabs grew 2.5 times year-over-year, totaling 443.5 thousand tons. The shorter shipping distance and competitive pricing make Russian slabs attractive to Turkish HRC producers. Slabs priced at $450 to $455 per ton CFR provide a significant cost advantage over slabs from non-sanctioned suppliers, which cost $470 to $475 per ton CFR.
Meanwhile, the Asian slab market in Europe has seen little change. Prices for slabs from Indonesia held steady at $440 per ton FOB as of May 22. Though Asian slabs have appeared on the U.S. market, this trend is unlikely to persist due to the 25% import tariff.
U.S. Market Dynamics and Brazilian Slab Price Stability
Brazilian slab prices have remained at $510 per ton FOB for the past three weeks. U.S. buyers have turned to Asian products to gain leverage in pricing negotiations with Brazilian suppliers. Brazilian slabs enjoy an exemption from the 25% steel import tariff, making them a more attractive option for U.S. buyers.
In Japan, slab prices dropped to the lower end of their range in March, sitting between $460 and $470 per ton FOB. By mid-May, prices had recovered slightly to $470 per ton FOB.
Conclusion: Ongoing Price Fluctuations and Market Uncertainties
The European slab market remains volatile. Prices depend on international supply, regional demand, and trade policies. While May’s decline was modest, shifts in Russia, Asia, and Brazil will continue to affect price trends. Tariffs and geopolitical factors will keep the outlook for European slab prices uncertain in the near term.
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