According to German press release,, the steel price probably will further increase in the year 2008. The price of iron ore will increase by 65 percent from April 08, and the coal is also expected to have a big increase by around 60 percent more than year 2007.

Mr. Hermann Reith from BHF Bank predicts that the steel price increase is mainly because the cost of raw material increased. However, the appreciation of Euro versus other currencies will make European steel manufacturers in a more favorable position than the mills from U.S and other Asian countries.

In order to maintain their profit margin, recently several big European steel manufacturers continuously announce their price to rise in the next quarter, ThyssenKrupp will increase their several products price up to €100/ton. Few weeks ago, ArcelorMittal said that their price will increased by around €60/ton and also not exclude the possibility of further increase.