November's soaring raw material prices are the main contributor to the rise in Chinese steel prices. EU steel producers have also justified further rises on the basis of raw material costs; rises which coincide with the imposition of anti-dumping duties against Chinese HR coil. In the US, steel imports have dropped and sentiment regarding President-elect Trump's future policies have raised prices. In Q1 2017 we expect raw material prices to fall, and consequently Chinese steel prices. The US has room for further rises, the magnitude of which will become clearer with future policy announcements. HR coil in the EU has limited room for further growth but is likely to stay around $500/tonne in H1 2017 supported by automotive growth. EU rebar prices are likely to follow global prices higher.