US plate prices have been holding steady and bucking the downtrend presently seen across sheet and coated products. Plate demand has remained largely steady, while buyers have maintained lean inventories, only taking volumes to fill gaps. The price dynamic has led to historically high premiums over hot-rolled coil (HRC) prices. Presently, plate prices are more […]
The spread between hot-rolled coil (HRC) and prime scrap prices is back on the downward trend seen prior to the Russia-Ukraine war, according to Steel Market Update data through this week. The HRC-scrap spread peaked last September, falling to an 18-month low in early March and briefly rebounding through May. The latest spread is nearly […]
SMU’s average hot-rolled coil prices dropped below $900 per ton ($45 per cwt) for the first time since December 2020. And some sources, citing short lead times and spotty demand, said they see little reason for the trend to reverse in the short term. SMU’s hot-rolled coil prices now stand at $875 per ton ($43.75 […]
US Steel made downward revisions to their galvanized and Galvalume coating extras on Monday, with new extras going into effect Sept. 4, 2022. Earlier this month, Steel Dynamics, NLMK USA, and Wheeling-Nippon also revised their galvanized coating extras. SMU provides an updated comparison of mill galvanized coating extras in the Resources section of our website, […]
Raw steel production by US mills slipped last week, shrinking for the second straight week and keeping mill utilization rates below the 80% mark for just the second time since early April. Domestic capacity utilization fell to 78.9%—its lowest mark year-to-date—while mill production totaled 1,738,000 net tons in the week ending July 16, reported the […]
By CRU Senior Analyst Puneet Paliwal, from CRU’s Steel Metallics Monitor on July 14 The CRU metallics price indicator (CRUmpi) registered its third consecutive double-digit percentage decline in July, falling by 18.5% month over month (MoM) to 313.9, its lowest value since February 2021. Bearish sentiment in the metallics market, prevalent since May, has been […]
Startup company Altex Tube LLC is setting up shop on the campus of Steel Dynamics Inc.’s flatrolled sheet mill in Columbus, Miss. Altex’s new, $100 million HSS and mechanical tube mill will manufacture black and pre-galvanized steel tubing ranging in size from 1–6 inches square and 1.25–7.625 inches round, up to 48 feet in length […]
Kaiser declares force majeure due to an inability to secure its required magnesium Kaiser Aluminum, which operates a major aluminum can sheet rolling mill in Warrick, Ind., declared force majeure on July 8, citing its inability to obtain enough magnesium to sustain its production. Kaiser’s mill specializes in the production of food container and beverage […]
Editor’s note: SMU Contributor David Feldstein is president of Rock Trading Advisors. Rock provides customers attached to the steel industry with commodity price risk management services and market intelligence. RTA is registered with the National Futures Association as a Commodity Trade Advisor. David has over 20 years of professional trading experience and has been active […]
Imported sheet and plate products arrived at US ports at a slower pace in May, resulting in them accounting for a lower share of the domestic market, according to Commerce Department data. Imports’ share of US sheet and plate markets peaked in December, reaching their highest levels in the past 4.5 years. The trend was […]
Sheet prices continued to slide this week and plate prices to defy gravity. If there is an upside, it’s that the pace of sheet declines has moderated slightly. SMU’s hot-rolled coil price now stands at $910 per ton ($45.50 per cwt), down $45 per ton from $955 per ton a week ago and down $190 […]
Steel Market Update sources reported ferrous scrap prices fell significantly in July, the third consecutive month of declines since peaking in March and April. Prime grades declined as much as $150 per gross ton, while obsolete grades decreased $30-50 per ton. Scrap prices are now in line with levels seen in the first two months […]
Wheeling-Nippon Steel made downward revisions to their galvanized coating extras on Tuesday, with new extras going into effect immediately. Last week, Steel Dynamics and NLMK USA also revised their galvanized coating extras, with their new prices going into effect in August 2022. SMU provides an updated comparison of mill galvanized coating extras here in the […]
Raw steel production by US mills slipped last week, pushing utilization rates below the 80% mark for the first time since early April. Domestic capacity utilization shrank to 79.3% while mill production totaled 1,748,000 net tons in the week ending July 9, the American Iron and Steel Institute reported. US output was down 1.1% versus the […]
US apparent steel supply increased 4% from April to May, rising to 9.48 million net tons, according to the latest US Department of Commerce and American Iron and Steel Institute data. Recall that supply reached a six-year high last September at 9.92 million tons, declining each month through February. May’s supply level is now the […]
US steel exports fell 4% in May to 793,000 net tons, further declining from a 45-month high in March, according to the latest US Commerce Department data. On a 12-month moving average (12MMA), May exports have reached a 3+ year record high. Total May exports are 7% higher than levels seen one year ago. As shown […]
Sheet steel prices declined last week for the eleventh week in a row, while plate prices have remained relatively stable in comparison, according to SMU’s price indices published last Tuesday. Plate prices typically carry a premium over hot rolled prices because plate is a value-added product and requires more time on the mill. SMU’s hot […]
NLMK USA made mostly downward revisions to their galvanized coating extras this week. The new extras go into effect in August 2022. Earlier this week, Steel Dynamics also revised their galvanized coating extras, with their new prices going into effect August 1, 2022. SMU provides a comparison of mill galvanized coating extras here in the […]
Century and Alcoa Close Smelter Capacity We talked about the INTALCO saga in a recent column and its inability to find competitive power to re-open this smelter. Power has again reared its ugly head and delivered another serious bite to the industry. Century Aluminum announced on June 24 that it would be immediately curtailing production […]
Luxembourg-based steel tube producer Tenaris SA is set to purchase Benteler Steel & Tube Manufacturing Corp. from Benteler North America Corp. in a deal valued at $460 million. Benteler Steel & Tube is a seamless pipe producer with production facility in Shreveport, La., that has annual capacity of 400,000 metric tons. The acquisition, which is subject […]
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 After a brisk bout of futures activity in HR to close out the first half of 2022, we are experiencing much […]
Final Census data reveals that May steel imports totaled 2.75 million net tons, just 17,000 tons higher than April, but down 11% from March’s 26-month high of 3.09 million tons. June import licenses are at 2.79 million tons through July 6th data, (up from 2.29 million tons last week), now in line with April and […]
Nucor is keeping plate prices flat with the opening of its August 2022 order book. The Charlotte, N.C.-based steelmaker said it would maintain plate prices, effective with new orders. All published adders and extras will be applied, the company said in a letter to customers dated June 30. In its previous letter to customers dated June 13, Nucor […]
Steel Dynamics (SDI) has lowered metallic coating extras in response to declining zinc and aluminum prices. The new extras are effective Aug. 1, 2022. They apply not only to galvanized products but also to Galvalume, Galfan, and aluminized material, the Fort Wayne, Ind.-based steelmaker said. “Since the most recent adjustment to our published metallic coating […]
Domestic sheet prices continue to slide back to levels not seen since late 2020 or early 2021. Even plate prices, which had been stable to date, are starting to show signs of cracking. SMU’s average hot-rolled coil price now stands at $955 per ton ($47.75 per cwt), down $300 per ton (24%) from early June […]
Raw steel production by US mills recovered slightly last week following declines in the prior two weeks. Domestic capacity utilization rose to 80.9% while mill production totaled 1,767,000 net tons in the week ending July 2, the American Iron and Steel Institute reported. US output was up 1% versus the week prior but 4.4% below […]
Contract talks covering more than 22,000 dock workers at 29 West Coast ports will continue past the expiration of a current agreement on July 1 at 5 p.m. PST. That’s according to a joint statement released on Friday afternoon ahead of that deadline by the International Longshore & Warehouse Union (ILWU) and the Pacific Maritime […]
SMU contributor Bryan Tice is a partner at Metal Edge Partners, a firm engaged in Risk Management and Strategic Advisory. In this role, he and the firm design and execute risk management strategies for clients along with providing process and analytical support. Prior to Metal Edge Partners, Bryan held a variety of commercial leadership roles […]
Steel Market Update sources expect ferrous scrap prices to fall again in July, the third consecutive month of declines since March and April’s record high prices. Both prime and obsolete grades are expected to decrease $50 per gross ton or more, with some saying prime could fall as much as $100 per ton. “The swiftness […]
The appeal of foreign hot rolled coil (HRC) over domestic steel is slowly diminishing, according to SMU’s latest foreign versus domestic HRC price comparison. Between mid-April and late May, foreign steel prices generally declined at a faster rate than domestic prices, resulting in greater potential discounts on imported products. Now, domestic prices are declining at a faster […]