The International Rebar Producers and Exporters Association (Irepas) said in its latest short-range outlook that the ongoing conflict in the Middle East has significantly increased uncertainty in the global long steel products market.
According to the association, the conflict has pushed energy prices higher, disrupted supply chains, and driven up bunker fuel and freight rates, while inventories have declined. However, it is still too early to assess the full impact of the war.
Concerns over cargo deliveries from eastern regions have supported price increases in Western markets, though demand remains weak amid uncertainty over the duration and possible expansion of the conflict. The outlook for scrap prices also remains unclear.
Given the heightened uncertainty, investment decisions are likely to be delayed. In the EU, mills have attempted to raise prices, but the market’s slow recovery after winter has limited buying activity. At the same time, the lack of clarity from Brussels regarding final CBAM regulations and the future of safeguard measures after June 2026 continues to create risks for imports.
In Turkey, construction activity remains slow and long steel exports are down about 20pct YoY, with mills adjusting production in line with demand.
Meanwhile, in the US, a Supreme Court ruling against Trump-era tariffs has offered temporary relief to importers, though new tariffs could potentially be introduced under different frameworks.
Overall, Irepas noted that rising protectionism, geopolitical tensions and persistent uncertainty are making competition increasingly difficult. The association described the current market environment as unstable, with an unpredictable outlook.
