Steel Mills
EVRAZ NA Expects Headwinds for OCTG in 2015
Written by Sandy Williams
January 19, 2015
EVRAZ North America produced 1.999 million tonnes (2.2 million net tons) of crude steel in 2014, down 8.8 percent from the total in 2013. Crude steel production increased by 5.7 percent to 528,000 tonnes (582,000 tons) in the final quarter of 2014 as compared to third quarter 2014. Finished steel products slipped 8 percent y/y in 2014.
The yearly decrease in crude steel and steel products was due to the shutdown of Claymont operations in Q4 2013. Excluding Claymont 2013 production, results in 2014 show crude steel production increased 3 percent and steel products increased by 4 percent.
The Claymont closure reduced EVRAZ North America 2014 flat rolled products by 37 percent. Tubular products increased by 14 percent y/y and 6 percent from the previous quarter, driven by strong OCTG demand and operational improvements. Crude steel production in Q4 was supported by the increase in tubular production.
EVRAZ Portland saw a decline of 12 percent q/q in production of flat rolled products due to record levels of plate imports in the quarter.
Average selling prices for flat rolled in 2014 were $955/tonne ($866/ton) and $935/tonne ($848/ton) in Q4. Tubular product average annual sale price was $1,333/tonne ($1,209/ton).
EVRAZ expects OCTG demand to “face significant headwinds during 2015 as a result of the rapid declines in oil prices.” EVRAZ expects “robust plate market fundamentals” to sustain plate volumes in Q1 2015 despite elevated import levels.
EVRAZ announced two-year collective bargaining agreements with USW Locals 6673 (Calgary, Alberta) and 4890 (Regina, Saskatchewan) were ratified on January 12 and January 16, respectively.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
USS touts first coil at BR2 as Q3 earnings fall
U.S. Steel said it has produced its first coil at the Big River 2 facility in Osceola., Ark., as the company reported lower profits on-year in the third quarter of 2024.
Cleveland-Cliffs sets Nov. 1 closing date for Stelco deal
Cleveland-Cliffs has received all the required approvals to finalize its $2.5-billion acquisition of Canadian steelmaker Stelco Holdings Inc.
Cliffs maintains $750/ton list price for HR sheet
Cleveland-Cliffs is keeping its market price for HRC flat at $750/short ton with the opening of its December order book.
Nucor cuts plate prices by $100/ton, cites market conditions
Nucor Corp. announced that its plate mill group would cut prices for as-rolled, discrete, and cut-to-length plate with the opening of its December order book.
BlueScope lowers profit predictions due to global steel slowdown
Australia’s BlueScope Steel has lowered its earnings guidance due to challenging conditions in the global steel industry.