Eastern Europe

During September’s Polish-German IGMNiR-VDM meetings in Warsaw, several yards described this August as the worst in years for metal volumes, with some seeing a reduction in metal flows of as much as 40%. This is way beyond what could be called a regular holiday season slowdown.

The recent LME copper price increase and stronger demand from Asia have helped the red metal’s situation. Availability has picked up compared to August, yet most likely suppliers will be much more cautious considering their volumes in the next round of long-term contracts.

​​The Eurozone manufacturing PMI contracted to 45.0 in September - the lowest level in nine months. To prevent the European economy from moving further towards contraction, more policy easing by the European Central Bank may lie ahead.

Stronger purchasing from Asia helped increase exports from Russia in September, with the support of higher LME levels and a rouble 8.5% lower against the US dollar than at the time of our previous Mirror report in July.