JSW rises as German debt deal, geopolitics drive steel demand prospects

Jastrzebska Spolka Weglowa SA

17/03/2025 09:23

** Shares in Polish steel producer JSW JSW.WA rise as much as 4.8%, boosted by demand prospects after German parties agreed to increase long-term defence funding and infrastructure investment on Friday

** "The German market as such is quite a big hub when it comes to steel and it will continue to be, so the prospects for the steel market are improving," Erste Group analyst Jakub Szkopek says

** Potential peace in Ukraine and less competition from China, which has decided to decrease its steel production, are additional drivers for JSW's gains, Szkopek adds

** "Ukraine is cut off from its own supplies of coking coal and coke, so it will have to import it anyway ... Today the market is betting that it might also buy it from JSW," he says

** As of 0900 GMT, JSW's shares are up 1.7%, at the top of Poland's blue-chip index WIG20 .WIG20

 (Reporting by Anna Banacka)

 ((Anna.banacka@thomsonreuters.com, +48 58 769 65 65))