“ The global steel market is showing significant fluctuations.
The steel price initially showed a relatively flat and slightly falling price trend in 2020, but prices rose sharply in the last quarter. The global steel market is in a state of flux. Uncertainties caused by the covid pandemic initially had a downward effect, but now prices are rising again, partly as a result of support measures.
The steel price fluctuations have a direct financial effect on the Business Units Steel and steel processing and Grating technology. It remains a challenge to pass on the rising purchase prices in full to the customers and in the purchasing market the question is always what is the right timing: is there a continuously increasing demand for steel or is it a temporary recovery?
Development of steel market price - quarto plate and hot-rolled coils
Source: NovioStaal - Steel Journal
At the end of 2020, the relatively higher steel and zinc prices had only a limited positive effect on ROTO’s results and the negative effect of the lower prices during the year on revenue and cost of revenue has not yet been fully recovered.