More Flat Rolled Mills Tack On $30

A little later in the day, first ArcelorMittal USA then NLMK USA and California Steel Industries added their company names to the $30 per ton price increase parade.

USS/POSCO (UPI) also sent out a letter to their customers advising that they too are taking prices up $30 per ton.

On Wednesday, U.S. Steel advised customers of their intention to raise prices by $30 per ton. The U.S. Steel announcement letter was the first one seen in quite some time. USS has been informing their customers via one-on-one discussions as opposed to putting out what soon becomes a public document.

Later Wednesday, AK Steel became the sixth U.S. based flat rolled mill to announce an increase. AK Steel published a press release on their website raising spot prices by the same $30 per ton announced by the other flat rolled producers.

SMU spoke with a large flat rolled steel service center this afternoon who told us they have been offered spot hot rolled at $620 per ton ($31.00/cwt), cold rolled at $800 per ton base ($40.00/cwt) and galvanized at a $820 per ton ($41.00/cwt). These are essentially unchanged from where they were being offered prior to the increase announcements.

We will watch the markets carefully in the coming days for signs that the steel mills are serious about collecting the latest price increase.