Steel Products
U.S. Steel, ArcelorMittal Join in $40 Price Hike
Written by Tim Triplett
June 26, 2019
U.S. Steel and ArcelorMittal USA are the latest steelmakers to announce a price increase.
U.S. Steel informed customers today, June 26, that it has raised the base price for all new flat-rolled spot orders by $40 per ton ($2/cwt), effective immediately.
Likewise, ArcelorMittal USA added $40 to the base price for its hot rolled, cold rolled and coated products, “applicable to all new orders or recent quotations that have not yet been accepted by ArcelorMittal or AM/NS Calvert.”
The move by U.S. Steel and ArcelorMittal follows similar announcements yesterday by Nucor and USS-POSCO Industries (UPI).
On Tuesday, NLMK USA released minimum base prices of $560 per ton for hot rolled, $700 per ton for cold rolled and $700 per ton for coated steels, effectively following suit.
The market has been waiting for the mills to raise prices, the question was when and by how much. The mills’ last attempt at a price increase was four months ago, in late February, when they also sought a $40 bump. It failed to gain any support in the marketplace and prices continued to slide. All total, the benchmark price of hot rolled steel has declined by more than 40 percent since peaking last July. Whether this latest effort to reverse the downtrend proves more successful should be apparent in the next few weeks.
Tim Triplett
Read more from Tim TriplettLatest in Steel Products
September energy market update
In this Premium analysis we examine North American oil and natural gas prices, drill rig activity, and crude oil stock levels through September. Trends in energy prices and rig counts serve as leading indicators for oil country tubular goods (OCTG) and line pipe demand.
Market says cutting interest rates will spur stalled domestic plate demand
Market sources say demand for domestic plate refuses to budge despite stagnating prices.
U.S. Steel to halt slab conversion at Granite City Works
U.S. Steel said it plans to reduce slab consumption at its Granite City Works near St. Louis, a company spokesperson said on Monday. The Pittsburgh-based steelmaker will shift the production and processing of steel slabs to its Mon Valley Works near Pittsburgh and its Gary Works near Chicago. Citing a United Steelworkers (USW) union memo, […]
SMU Week in Review: September 1-5
Here are highlights of what’s happened this past week and a few upcoming things to keep an eye on.
HR Futures: Market finds footing on supply-side mechanics
As Labor Day marks the transition into fall, the steel market enters September with a similar sense of change. Supply-side fundamentals are beginning to show signs of restraint: imports are limited, outages loom, and production is capped, setting the stage for a market that feels steady on the surface but still unsettled underneath.