For the Quarter Ending June 2025
North America
• The Electrical Steel Price Index in the USA decreased by 7.8% quarter-over-quarter in Q2 2025. The decline was driven by slower restocking from transformer OEMs and excess inventory carried over from Q1.
• The Electrical Steel Production Cost Trend remained steady, with no major shifts in silicon alloy input prices or energy costs.
• The Electrical Steel Demand Outlook weakened slightly as utility infrastructure upgrades slowed amid delayed project approvals.
• Import pressure from lower-priced Asian offerings intensified, prompting domestic mills to recalibrate contract pricing.
Why did the price of Electrical Steel change in July 2025 in North America?
• The Electrical Steel Spot Price in July 2025 is estimated to have stayed mostly flat, as distributors took a wait-and-see approach.
• Subdued demand from energy transmission sectors continued, with only minimal restocking noted from smaller OEMs.
• The Electrical Steel Price Forecast remains range-bound unless government procurement steps up in late Q3.
• The Electrical Steel Demand Outlook stays conservative amid tighter capex cycles in utilities and slower tender flow.
APAC
• The Electrical Steel Price Index in Indonesia declined by 9.2% quarter-over-quarter in Q2 2025. This was largely due to weakening export demand, aggressive Chinese competition, and a drop in regional transformer production.
• The Electrical Steel Production Cost Trend fell slightly as local rolling costs dropped and import-based input procurement became cheaper.
• The Electrical Steel Demand Outlook was weighed down by soft infrastructure funding and high finished goods inventories.
• Export orders were limited due to pricing pressure from Japanese and Chinese suppliers in ASEAN markets.
Why did the price of Electrical Steel change in July 2025 in Indonesia?
• The Electrical Steel Spot Price in July 2025 likely saw a marginal dip due to persistent oversupply and weak forward bookings.
• Local mills attempted to secure spot deals at discounted rates, but end-users showed limited urgency to replenish.
• The Electrical Steel Price Forecast indicates further downside unless regional infrastructure orders rebound in Q3.
• The Electrical Steel Demand Outlook remains under pressure, with limited visibility from construction-linked sectors.
Europe
• The Electrical Steel Price Index in Germany decreased by 5.5% quarter-over-quarter in Q2 2025. Price cuts were seen as mills responded to weaker automotive electrical component demand and competition from Korean imports.
• The Electrical Steel Production Cost Trend remained unchanged, with stable alloy and rolling cost conditions across EU mills.
• The Electrical Steel Demand Outlook dimmed as renewable grid investments slowed and EV component makers trimmed procurement volumes.
• Import substitution gained pace as European buyers explored cheaper Asian alternatives for short-cycle applications.
Why did the price of Electrical Steel change in July 2025 in Germany?
• The Electrical Steel Spot Price in July 2025 is projected to have slipped slightly, with mills offering limited discounts to retain long-term buyers.
• OEM demand showed no material uplift in July, and inventory turnover remained slow.
• The Electrical Steel Price Forecast shows low volatility into Q3 unless public sector tenders accelerate.
• The Electrical Steel Demand Outlook stays muted amid inflation-led project deferrals and limited new power infra contracts.
For the Quarter Ending March 2025
North America
The Electrical Steel market in North America experienced modest stability in Q1 2025, characterized by a quarter-ending price of USD 5,710/MT for Electrical Steel (M15-C5) Coil delivered to Tijuana, USA. This price remained stable compared to Q4 2024, where fluctuations were more pronounced due to shifting demand dynamics and supply chain adjustments. During the previous quarter, prices ranged widely as the market reacted to various influences, including heightened demand from the growing electric vehicle and renewable energy sectors.
Key factors shaping the market include a mixed buyer sentiment influenced by tightening supply conditions and rising costs of raw materials, particularly silicon. Despite some increases in electrical steel prices in early Q1, subsequent weeks saw fluctuations due to inventory adjustments and a decline in demand, particularly in construction, as labour shortages and rising material costs put pressure on project timelines. Additionally, the U.S. steel industry continues to make strategic investments in silicon steel production, underscoring a commitment to meeting the growing energy demands.
As the sector faces challenges such as energy cost increases and market volatility, participants must navigate a complex landscape of demand pressures and seasonality to maintain competitiveness and operational margins. Overall, the Electrical Steel market in North America reflects cautious optimism amid evolving economic conditions.
Europe
The Electrical Steel market in Europe has demonstrated relative stability in Q1 2025, with a quarter-ending price of USD 1,852/MT for Electrical Steel (50 WW 800) Coil FD-Ruhr in Germany. This price remained stable compared to Q4 2024, where fluctuations were noted due to mixed market conditions and regulatory uncertainties. Throughout Q4, prices experienced volatility amid supply chain disruptions and subdued demand stemming largely from the construction and automotive sectors. Key factors influencing the current landscape include ongoing regulatory concerns regarding imports, particularly as the European Union considers adjustments aimed at protecting domestic markets. Demand for Electrical Steel has been moderate, affected by a contraction in the construction industry and a decline in automotive registrations. Despite the anticipated recovery in the steel-using sectors, forecasts for EU apparent steel consumption have been revised downward, signalling a cautious outlook. In terms of seasonal impacts, the holiday season in late Q4 and early January resulted in reduced purchasing activity, further influencing market dynamics. As prices in Q1 2025 show no significant fluctuations despite cost pressures, market participants face challenges around managing inventory levels while anticipating potential shifts in demand. Overall, while the Electrical Steel market remains stable, uncertainties regarding economic conditions and regulatory policies pose ongoing challenges for producers and consumers alike.
APAC
The Electrical Steel market in the APAC region has shown notable fluctuations in Q1 2025, reflecting a combination of supply chain dynamics, shifting demand levels, and regulatory influences. In terms of comparative analysis, the pricing trend in Q4 2024 remained relatively stable, marked by higher demand from construction and automotive sectors, which bolstered sales. However, entering Q1 2025, the emergence of a weaker local market in China, combined with declining prices of key raw materials such as silicon, has sparked a decline in Electrical Steel prices. Domestic consumption in China has notably dipped due to a downturn in the property market, leading to reduced demand across various segments, including Electrical Steel. Key factors affecting the market include the Chinese government’s regulatory measures to curb crude steel output, which aims to address overcapacity and enhance industry stability. Furthermore, uncertainty from global economic conditions and trade tensions has cultivated a cautious buying sentiment in Indonesia and surrounding markets, impacting inventory levels and purchasing activities. With the increased production capabilities in the region, market participants are facing challenges from fluctuating demand and the need to adapt to evolving regulatory and economic landscapes, leading to a complex market outlook for Electrical Steel in the APAC region. During this quarter, prices for Electrical Steel exhibited a downward trend, culminating in a quarter-ending price of USD 780/MT for Electrical Steel (50 WW 800) Coil on a CFR basis at Tanjung Priok, Indonesia. This represents a decrease compared to Q4 2024 when prices demonstrated resilience amidst high demand but were unable to maintain momentum due to various external pressures.
For the Quarter Ending December 2024
North America
The Electrical Steel market in North America during the fourth quarter of 2024 exhibited stability amidst a backdrop of economic uncertainty and ongoing challenges in the manufacturing sector. Prices for Electrical Steel remained unchanged throughout the quarter, reflecting a cautious market environment influenced by both supply and demand dynamics. While the Manufacturing Purchasing Managers' Index (PMI) showed slight improvement, indicating a potential easing of the downturn, the overall manufacturing sector continued to experience contraction.
Demand for Electrical Steel has been impacted by fluctuating activity levels in both construction and automotive sectors. Although construction spending demonstrated modest growth along with job additions, higher mortgage rates and weakening residential activities led to cautious buyer behaviour. Additionally, the automotive sector saw a boost in vehicle sales yet supply issues and rising input costs posed significant challenges for manufacturers.
On the supply side, U.S. raw steel production reached an 11-week high, but overall output remained below year-to-date averages, indicating ongoing concerns in the production landscape. Input cost inflation is at a yearly low, yet manufacturers are contending with longer delivery times and staff shortages affecting overall efficiency.
As we close Q4, the price for Electrical Steel (M15-C5) Coil DEL in Tijuana is approximately USD 5,850/MT. This price stability comes amidst challenging market conditions, including high input costs and shifts in demand, emphasizing the necessity for strategic adaptations among market participants as they navigate an uncertain economic environment.
Europe
The Electrical Steel market in Europe encountered significant challenges during Q4 2024, characterized by stable pricing trends despite an overarching climate of economic uncertainty. Prices have remained steady, with industry sentiment reflecting caution as the sector grapples with weak demand conditions. In particular, the German manufacturing sector continued to experience contraction, compounded by declines in residential construction and a slowdown in automotive sales. Germany’s Manufacturing Index showed negative revisions, indicating an easing of output and new orders as companies faced reduced purchasing activity. While the overall market maintains stability, issues such as an influx of cheaper imports and stagnant domestic demand have created a subdued trading environment. However, there are indications that a recovery could materialize post-holiday, contingent on improved demand levels in both the construction and automotive sectors. Moreover, significant regulatory challenges persist, particularly in the construction industry, where a drop in new housing development approvals has further curtailed Electrical Steel consumption. On a positive note, some southern European mills are offering competitive prices, although substantial increases in production costs and reduced imported material availability are creating a complex pricing landscape. As Q4 concludes, the price for Electrical Steel (50 WW 800) Coil FD-Ruhr in Germany stands at approximately USD 1,865/MT. This stability in the market underscores the persistent concerns surrounding demand and supply dynamics, as industry players prepare to navigate the challenges ahead in a potentially tumultuous 2025.
APAC
The Electrical Steel market in the APAC region during the fourth quarter of 2024 showcases a cautious stability amid a backdrop of fluctuating demand and geopolitical uncertainties. Prices for Electrical Steel have remained stable, reflecting the moderate market conditions but facing challenges due to rising input costs and supply chain disruptions. Manufacturing activity in Japan presented a mixed picture, as the Manufacturing Index indicated a contraction, yet it signalled some positive shifts in business sentiment. However, the continued decline in automotive sales and pressures on major players like Toyota, due to fierce competition and production issues, highlight the ongoing challenges within the sector. Overall, the automotive market's struggles could dampen demand for Electrical Steel, which is essential for various automotive applications. Supply dynamics have also been impacted by seasonal factors, with domestic steel inventories experiencing fluctuations due to rising shipping activity and production cuts in response to weaker global demand. The recent geopolitical tensions, particularly concerning the blocked acquisition of U.S. Steel by Nippon Steel, have added additional layers of uncertainty to market stability. As Q4 closes, the price for Electrical Steel (50 WW 800) Coil Ex Osaka stands at approximately USD 1,431/MT. While the price stability in this segment indicates resilience, market participants face ongoing difficulties including shifts in demand, input price inflation, and broader manufacturing sector challenges, underscoring the need for strategic adaptability as the market navigates these obstacles.
For the Quarter Ending September 2024
North America
In Q3 2024, Electrical Steel prices in North America showed a modest rise, with the USA experiencing the most significant changes. This increase was driven by several factors. First, stable supply levels combined with rising demand from the automotive and renewable energy sectors pushed prices higher.
Additionally, the weakening US dollar and expected interest rate cuts by the Federal Reserve made dollar-priced steel more attractive to buyers, further boosting demand. The gradual recovery in the automotive sector and a rise in orders for green energy projects also contributed to the price increases. Specifically in the USA, there was a consistent upward trend in Electrical Steel prices during the quarter, reflecting positive market sentiment.
The growth in prices compared to the same quarter last year underscored the upward trajectory, with prices rising between the first and second halves of the quarter. Despite a stable price change from the previous quarter in 2024, the quarter-ending price of USD 5830/MT for Electrical Steel (M15-C5) Coil DEL Tijuana in the USA indicates a strong and steadily increasing pricing environment.
Asia-Pacific
In Q3 2024, the APAC region saw stable prices for Electrical Steel, influenced by various factors. These include a balanced supply-demand dynamic, market sentiment, and global economic conditions. Japan, experiencing the most significant price changes, witnessed a quarter decrease compared to the same period last year, reflecting challenges in the steel industry.
The quarter-on-quarter change further highlighted the market's stability and resilience amidst external pressures. Notably, the price comparison between the first and second half of the quarter remained constant, indicating a consistent pricing trend. Additionally, Tokyo Steel, Japan's largest Electric Arc Furnace (EAF) steel producer, has decided to reduce scrap purchase prices to adapt to market changes and maintain competitiveness. This reduction may lower production costs for companies that rely on Tokyo Steel as a supplier but could also affect ferrous product pricing globally.
The latest quarter-ending price of USD 1430/MT for Electrical Steel (50 WW 800) Coil Ex Osaka in Japan underscores the overall stable pricing environment. Despite fluctuations in global steel markets, Japan's Electrical Steel sector has maintained a steady stance, showcasing resilience and adaptability to market dynamics. The quarter's pricing trends reflect a stable and balanced market sentiment, emphasizing the sector's ability to navigate challenges and maintain price continuity.
Europe
In Q3 2024, the Europe region experienced stable pricing trends for Electrical Steel, with notable influences shaping market prices. Various factors contributed to this stability, including a challenging environment marked by a decline in the construction sector and concerns in the automotive industry, leading to a stark lack of buying activity.
Analysts have described the automotive market as bad and the construction market as terrible. Despite the bleak demand picture, premiums in the construction market have remained flat due to a tight supply environment. The Germany was able to maintain stability in the domestic market.
Despite these challenges, premiums in the construction market remained flat due to tight supply conditions. Notably, the price remained consistent between the first and second half of the quarter, indicating a period of price stabilization. The quarter-ending price for Electrical Steel (50 WW 800) Coil FD-Ruhr in Germany stood at USD 1850/MT, reflecting the overall stable sentiment prevailing in the market, characterized by uncertainties, subdued demand, and fluctuating market conditions. Despite the challenges, the pricing environment remained steady, with Germany showcasing resilience amidst a complex economic landscape.
FAQs
1. Why did Electrical Steel prices fall in North America during Q2 2025?
The Electrical Steel Price Index in the USA dropped by 7.8% quarter-over-quarter in Q2 2025. This decline was primarily due to reduced restocking activity from transformer OEMs and surplus inventories from Q1. Additional pressure came from increased import competition, prompting domestic mills to adjust pricing.
2. Why did the price of Electrical Steel remain flat in July 2025 in North America?
Electrical Steel Spot Prices stayed mostly flat in July 2025, as the market saw cautious behavior from distributors. Demand from the energy transmission sector stayed soft, and only small-scale restocking was noted. The outlook remains range-bound with government utility procurement delays continuing to weigh on volumes.
3. What led to Electrical Steel price declines in Indonesia in Q2 2025?
In Indonesia, the Electrical Steel Price Index declined by 9.2% quarter-over-quarter due to weak export demand, falling transformer production, and pricing pressure from Chinese and Japanese exporters. Local production costs eased, but demand remained sluggish due to soft infrastructure spending and high inventories.
4. Why did Electrical Steel prices decline slightly in Germany in July 2025?
In Germany, Electrical Steel Spot Prices slipped modestly in July 2025, with mills applying selective discounts to retain contracts. OEM demand remained weak, and procurement volumes from EV and grid projects showed no rebound. Inflation-led delays in infrastructure investments kept demand outlook muted.
