Final Thoughts
Final Thoughts
Written by John Packard
October 27, 2014
This is good. There is a debate going on within the industry regarding the need for a price increase and whether the customers (tail) are wagging the dog (mill).
One buyers ask SMU, “Knowing their history of lacking price discipline…taking advantage of their fear and uncertainty of not filling mill and talking the market down – or at least (mill name removed) down… Would think they [the mill] rather make stock items, or slow production rather than erode the entire market (says the ignorant service center guy).”
Now that AK Steel has announced +$20 the conversation has already started – too little, too early – are they talking out of both sides of their mouth (as buyers reported AK was looking for spot business earlier today)? Will the other mills follow? Will they raise the stakes?
What do you think? You can send me your thoughts on the subject to: John@SteelMarketUpdate.com.
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John Packard, Publisher
John Packard
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