Steel prices have fluctuated wildly in 2025 due to a mix of geopolitical, economic, and environmental factors.

Current Scenario:

Hot-rolled coil (HRC) prices swung between $700–$900/ton in Q2, up from $600 in 2024.

Causes:

Russia-Ukraine War: Disrupted exports of iron ore and coking coal.

China’s Slowdown: Reduced domestic demand led to export surges, distorting global markets.

Carbon Taxes: Higher production costs in Europe.

Industry Adaptations:

Mills are adopting just-in-time inventory models to mitigate price risks.

Futures trading for steel is gaining traction on the London Metal Exchange.

Forecast: Analysts expect prices to stabilize by late 2025 as supply adjusts, but long-term decarbonization costs may keep prices elevated.