Steel Products Prices North America
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/media/k2/items/src/063871984b0a86334c169e0d9253ec6c.jpg)
Foreign Price Spread Widens as Domestic Mills Push HRC Prices Higher
Written by John Packard
April 3, 2014
The spread between domestic (U.S.) hot rolled prices (FOB mill) and the world export hot rolled coil pricing rose this week to $146 per net ton after having shrunk to $115 last week. This jump represents a $31 per ton jump in the spread in one week (based on SMU numbers not Platts $655 number).
The highest we have seen the spread over the past two years was $163 per ton on November 26, 2013. We are now within $7 per ton of that mark.
When taking freight, handling, insurance and a margin for the trading company into consideration, the spread narrows to $76 per ton. At $76 per ton on hot rolled, the amount of interest in importing hot rolled would be tempting to many companies.
However, the numbers referenced are hypotheticals based on a mathematical formula and not the real market pricing.
Our sources are advising us that the latest hot rolled coil offers range from $29.25/cwt ($585 per ton) to $30.50/cwt ($610 per ton) CIF Duty Paid, east coast or Gulf port. The numbers into areas like Chicago would be a little higher due to barge freight.
That puts the spread at $35-$60 per ton. The spread will most likely grow in the coming days as the mills capture the full amount of their announced increase of $660 per ton. That increases the spread to $50-$75 per ton which is attractive to a HRC buyer located near a port facility. Especially, if the buyers believe prices will rise from here and, based on our most recent survey, 90 percent of those responding believe prices will rise from here.
As one of our steel buying sources located in the Southwest told us today, “Now it could get interesting.”
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/04/john-packard.png)
John Packard
Read more from John PackardLatest in Steel Products Prices North America
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/Nucor.png)
Nucor inches HR price up, aims for $695/ton
Nucor increased its consumer spot price (CSP) for hot-rolled (HR) coil to $695 per short ton (st), up $5/st from last week.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/Nucor.png)
Nucor maintains $690/ton HR base price
Nucor’s weekly consumer spot price (CSP) for hot-rolled (HR) coil is unchanged from last week at $690/ton.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/07/CRU-Logo-2023-07-21-at-4.35.41-PM.png)
CRU: US prices find a bottom as other markets fall
The US sheet market appears to have reached a bottom following consistent weekly declines since April. However, other markets remain weak due to limited demand. Trading in Europe has been slow due to summer holidays. While European mills are also undergoing maintenance outages, these have not been enough to offset ongoing price falls, with weak […]
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/Cliffs_logo2.2.png)
Cliffs seeks $700/ton for HR, up $30/ton from last week
Cleveland-Cliffs said on Wednesday that it would seek at least $700 per short ton (st) for hot-rolled (HR) coil. The Cleveland-based steelmaker said it made the move "due to ongoing market developments." The company said the increase was effective immediately for HR orders for September.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/Nucor.png)
Nucor aims for $675/ton for HR
Nucor has raised its consumer spot price (CSP) for hot-rolled (HR) coil to $675 per short ton (st), up $25/st from last week.