SMU survey: Buyers find mills less willing to negotiate pricing

Steel buyers of sheet products say mills are still flexible on spot pricing this week, though less so than two weeks prior, according to our most recent survey data. Alternatively, buyers of plate products responded that mills are more willing to talk price, with plate negotiation rates rising to an eight-month high.

SMU polls hundreds of service center and manufacturer buyers every other week asking if domestic mills are open to negotiation on new spot order prices. This week, four out of every five buyers we surveyed reported that mills are open to negotiating lower prices (Figure 1). This 80% rate has slightly eased over the last four weeks, having reached a multi-year high of 92% in early-July.