Klöckner & Co. announced an agreement to buy Mexican metal supplier National Material of Mexico (NMM) for $340 million. The Duisburg, Germany–based service center said the transaction will be completed through Klöckner & Co.’s U.S. subsidiary, Kloeckner Metals Corp. (KMC). NMM is an independent service center with seven locations throughout Mexico. The company specializes in the […]
Business activity declined in New York state in December, according to firms responding to the December Empire State Manufacturing Survey. The New York Fed’s Empire State headline general business conditions index—a gauge of manufacturing activity in the state—fell sixteen points to -11.2, down 15.7 points from 4.5 in November. In December, 23.1% of respondents reported […]
ArcelorMittal has joined the effort initiated by Cleveland-Cliffs to increase spot prices for steel sheet by at least $50 per ton ($2.50 per cwt). The move is effective immediately for material from AM/NS Calvert, the steelmaker’s joint venture mill in Alabama with Japan’s Nippon Steel. “We reserve the right to modify any outstanding quotations,” the […]
US Steel said sourcing pig iron from its Gary Works in Indiana in the first half of 2023, and working through the remainder of the high-priced raw materials, are expected to improve its mini mill segment’s financial results. However, in guidance released Thursday, Dec. 15, the Pittsburgh-based steelmaker said the mini mill segment’s adjusted earnings […]
Nucor Corp. said it expects lower earnings in its steel mills segment in the fourth quarter ending Dec. 31 vs. the previous quarter. Reasons cited include lower average selling prices, margin compression and lower volumes, with the largest decrease in profitability expected at its sheet mills. The Charlotte, N.C.-based steelmaker said it expects overall fourth-quarter […]
Imported sheet and plate products arrived at US ports at a slightly higher clip in October, though their share of the US market diverged as domestic shipments varied during the month. That’s according to a Steel Market Update analysis of import data from the US Commerce Department and domestic shipment figures from the American Iron […]
The spread between hot-rolled coil (HRC) and prime scrap prices is narrowing for the second consecutive month, according to Steel Market Update data. Prices for both products increased in December, following five consecutive months of declines. The latest HRC-prime spread is one of the lowest recorded in more than two years. The spread is now back […]
US apparent steel supply ticked up 3% in October to 8.5 million net tons, according to data from the US Department of Commerce and the American Iron and Steel Institute (AISI). Recall that apparent supply had fallen to a 19-month low in September—so while levels increased in October, it represents the third-lowest figure recorded in […]
US Steel said hot commissioning is underway, and the first small batch of pig iron was cast at its Gary Works in northwest Indiana. The Pittsburgh-based steelmaker said it has cast several full ladles of hot iron and produced over 1,000 tons of pig iron. This occurred months ahead of schedule, while maintaining a perfect […]
North America could be a bright spot in the global steel industry in a mostly gloomy outlook for 2023, according to a report from Fitch Ratings. The report said that in some markets, “including North America, India, Turkey and Brazil, sentiment remains more positive than our mid-cycle assumptions.” Reasons cited included benefits from protectionist trade […]
The Biden administration sent a proposition to the European Union (EU) Dec. 7 for a potential trade alliance between nations that use lower carbon emissions to produce metals. In October 2021 the US lifted the Section 232 tariffs on steel and aluminum imports from the EU, which was replaced by the tariff rate quota (TRQ) […]
Liberty Steel USA has raised a $40 million term loan with Eclipse Business Capital to refinance its existing term loan before its maturity in January. The company said that in addition to the new term loan, it has increased existing asset-based lending (ABL) with Eclipse to $150 million from $125 million. This additional liquidity will help the wire rod […]
SunCoke Energy Inc. has announced Katherine T. Gates will serve as the company’s new president, and will also join its board of directors, effective Jan. 1. Mike Rippey, current president and CEO, will continue to serve as CEO after Jan. 1. Gates has held a variety of positions with SunCoke since 2013, most recently serving as senior […]
After surging in late November to a five-month high, Steel Market Update’s (SMU) Steel Buyers Sentiment Index slipped three points through Dec. 8th. Our Future Buyers Sentiment Index also fell a few points from it’s previous high, down three points in comparison to two weeks prior. Buyers Sentiment remains strong overall, and Current Sentiment is […]
The US and the European Union have been engaging in talks designed to reduce global “overcapacity” in steelmaking. These talks stemmed from the agreement between the US and EU to change US Section 232 import measures from tariffs to tariff rate quotas (TRQs). The US has announced a plan (details are scarce) to impose higher […]
After surging in late November to a five-month high, Steel Market Update’s (SMU) Steel Buyers Sentiment Index slipped three points through Dec. 8th. Our Future Buyers Sentiment Index also fell a few points from it’s previous high, down three points in comparison to two weeks prior. Buyers Sentiment remains strong overall, and Current Sentiment is […]
Despite ongoing volatility, the steel industry has been experiencing growth. Recently, there’s been an air of caution as industry leaders look ahead to greater uncertainty. Price volatility and supply chain disruptions continue, but the steel industry is different. Steel has proven resilient and can stand the test of time. And now the US is looking to […]
The following article on the hot-rolled coil (HRC), scrap and financial futures markets was written by Jack Marshall of Crunch Risk LLC. Here is how Jack saw trading over the past week: Hot Rolled Over the last month, HR index prices have continued to decline, but at a much slower pace. The most recent index […]
Commercial Metals Co. (CMC) has selected Berkeley County, W.Va., as the site of its fourth rebar micro mill. The project, budgeted at approximately $450 million net of incentives, is expected to have an annual production capacity of 500,000 tons, and employ about 230 fulltime employees, the company said in a statement. This micro mill will […]
There has been a reduction in the percentage of sheet buyers reporting that mills are willing to talk price on new orders, according to Steel Market Update’s latest market questionnaire. Mill willingness to negotiate on sheet products is now at the lowest rate recorded since May. Negotiation rates on plate products went in the opposite […]
Steel mill lead times extended across the board this week, with production times increasing for all five products we track. Recall that lead times for hot-rolled, cold-rolled, and galvanized products were previously at or near multi-year lows in our late November market check. Lead times are up by an average of 0.5 weeks compared to […]
O’Neal Steel has announced the promotion of Jodi Parnell to chief operating officer, effective Jan 1. Parnell will assume leadership responsibility for both the company’s operations and supply chain groups—creating a single supply chain and operations team, O’Neal said in a statement. Parnell joined O’Neal Steel in 1999 and has served as vice president of […]
Total construction spending declined in October driven by widespread decreases in most major categories, reported the Associated General Contractors of America (AGC) on recent government data. While residential, commercial, highway, and manufacturing outlays fell during the month, contractors’ struggles to complete projects remain impacted by the lack of laborers. Open positions at the end of […]
Metalwest, an NIM Group company, has named Eric Daniel as general manager of the flat-rolled distributor’s Colorado region, with responsibility for facilities in Brighton, Colo., and Albuquerque, N.M. Daniel started at Metalwest’s corporate purchasing team in 2015 as supply chain manager, became director of supply chain in 2018 and joined the NIM Group corporate purchasing […]
These days, there seem to be many emergencies. The impulse of government leaders often is to declare a crisis and then succumb to a dangerous tendency — don’t just stand there, DO something! Last June, the President issued a proclamation on imports of solar panels and cells, declaring a national emergency on the supply of […]
US hot-rolled coil (HRC) prices edged up slightly last week on a wave of $60-per-ton sheet price hikes announced by domestic mills. The move appears to have at least temporarily stopped the bleeding seen over the last two months. Time will tell if the price hike attempt finds support. Just about everyone announced an increase of […]
Preliminary Census data indicates that steel imports will have totaled 2.41 million net tons for the month of October. While up 7% from the prior month, October levels are on the low side compared to the previous 18 months. Recall that monthly import levels declined 11% month-on-month (MoM) in September, having also fallen 6% both […]
US manufacturing activity contracted in November for the first time since May 2020, according to the Institute for Supply Management (ISM). The ISM’s November manufacturing PMI dipped below the neutral 50.0 mark — the level that typically divides expansion from contraction. It was slowed as new orders remained in contraction territory, while prices fell further […]
Plate supplier Leeco Steel has added new processing capabilities to its distribution center in Hamilton, Ontario, Canada. The company recently installed a Messer MPC2000 MC combination cutting and drilling machine, allowing for additional plasma cutting, oxy fuel cutting, beveling and drilling at the facility. “Having a Messer combination machine at our Hamilton facility will enable […]
The bottom end of SMU’s sheet price ranges firmed up this week following price hikes of $60 per ton ($3 per cwt) announced by Cleveland-Cliffs and US Steel on Monday. It’s not clear yet whether the price increases will stick in full, in part, or simply stop the bleeding. Case in point: Our sheet price […]