By CRU Senior Analyst Richard Lu, from CRU’s Steel Sheet Products Monitor In September 2020, President Xi Jinping formally announced that China will aim to achieve a peak in carbon emissions before 2030, followed by carbon neutrality before 2060. As part of the decarbonization efforts, the Chinese government at the start of the year announced […]
By Greg Wittbecker, Advisor, CRU Analysis We have just refreshed our expectations on aluminum for 2021 in our latest of the CRU Aluminum Market Outlook. Here are some of the key takeaways: Demand Is Strong The World ex China is into its recovery from the the Covid-19 pandemic. We expect to see sharp year-on-year growth […]
By Greg Wittbecker, Advisor, CRU Analysis Ten years ago the aluminum can, and the aluminum sheet mills that supplied them, looked to be on borrowed time. Aluminum beverage can shipments, as reported by the Can Manufacturers Institute (CMI) had been flatlining for years. Can manufacturers were consolidating, with Ball and Ardagh acquiring Rexam assets in […]
By CRU Principal Aluminum Analyst Guillaume Osouf The LME aluminum price has been going through a period of consolidation since it reached its last significant peak at $2,603 /t on May 10. A similar situation was observed between December 2020 and February 2021 before the rally resumed even stronger. Can we expect the same to […]
By Greg Wittbecker, Advisor, CRU Analysis On June 28, the Russian government announced the imposition of a 15% tax on aluminum exports. The tax is effective for the period August through December 2021 and covers most primary aluminum exports. This appears to be a case of the Russian government making an opportunistic “raid” on one […]
By Greg Wittbecker, Advisor, CRU Analysis The COVID-19 pandemic’s effects on overall aluminum demand in 2020 was well documented. However, that storyline masked a remarkable rebound in the demand for aluminum beverage cans. Data from the Aluminum Association shows this: • 2020 total domestic shipments of can stock supplied to the can market rose 3.3% […]
U.S. steel exports declined 4% in April to 760,000 tons, according to recently released U.S. Department of Commerce trade data. Althought down over the month prior, recall that March exports were at the highest level seen since June 2018. Of our six monitored product groups, the single product with a month-over-month increase was cut-to-length plate, […]
U.S. steel exports declined 2% in May to 742,000 tons, according to recently released U.S. Department of Commerce trade data. Although down from the month prior, recall that March and April exports were at the two highest levels seen since June 2018. May marks the third highest monthly export level since June 2018. Of our […]
This report examines the import share of tubular and long products shipments. Imports’ share of total tubular products rose to 46.6% in April, up from 46.2% in March. Both domestic shipments (-7.0%) and imports of tubular products (-5.8%) fell month on month, yet domestic shipments edged down at a stronger clip when compared to March. […]
This report examines the import share of sheet and plate products. Imports’ share of total sheet product shipments was 12.5% in April, down from 12.7% in March. By comparison, the import share of total plate product shipments jumped to 19.9% in April, up from 15.7% the month prior. Import share for sheet products has dipped […]
Editor’s note: 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. Before joining Metal Edge Partners, Bryan held a variety of commercial […]
The energy tubulars market is still waiting for the boom flat-rolled steel prices – the sector’s primary input cost – to flow through to pipe selling prices, according to one industry expert. On the face of it, things look good. Oil prices are improving, the rig count is up dramatically versus a year ago, and […]
Hot-rolled coil prices charged higher yet again even as lead times stretched into August, a typically slower time of the year. Is a year-long hot streak for sheet possible? The answer in ordinary times would be ‘no’. But these are not ordinary times. Hot-rolled coil prices have hit a new all-time high of $1,675 per […]
U.S. ferrous scrap prices have settled up $60 per gross ton on prime grades and up $50 per gross ton on obsoletes, according to market participants. “Regional markets were very consistent with the up $50 (per gross ton) on obsolete grades and up $60 (per gross ton) for primes,” one scrap executive said. “This resulted […]
Raw steel production by U.S. mills totaled 1,840,000 net tons in the week ended June 5, up 0.2% compared to the week prior when production totaled 1,836,000 net tons, according to the American Iron and Steel Institute (AISI). The mill utilization rate last week averaged 82.3%, up from 81.5% the week before and up 46.3% […]
Final Census data shows that total foreign steel imports indeed rose 14% from March to April to 2.64 million tons, rising just 5,000 tons from the preliminary levels SMU reported last week. This is the highest total monthly import level seen since July 2020 when imports were 2.71 million tons. Import licenses currently for May have risen […]
Bull Moose Tube Co. has joined the list of companies planning to set up shop adjacent to Steel Dynamics’ new flat-rolled mill in Sinton, Texas. The tubing manufacturer announced plans to build a plant with an annual capacity of 350,000 tons to produce hollow structural sections (HSS) and sprinkler pipe. The new mill is expected […]
Foreign steel imports from two of the three regions tracked by Steel Market Update are losing their price advantage over domestic steel, according to our latest foreign versus domestic hot rolled steel price comparison. The price differentials between domestic HRC compared to foreign imports had surged through February and March to reach record highs in […]
Hot rolled steel prices passed another milestone this week, topping the $1,600 mark to set yet another record that would have been unimaginable at this time last year when HR was selling for around $500 a ton. Steel Market Update’s latest check of the market shows an average HR price of $1,620 per ton, up […]
Raw steel production by U.S. mills totaled 1,836,000 net tons in the week ended May 29, up 2.4% compared to the week prior when production totaled 1,793,000 net tons, according to the American Iron and Steel Institute (AISI). The mill utilization rate last week averaged 81.5%, up from 79.0% the week before and up 50.1% […]
Preliminary Census data shows that total foreign steel imports rose 14% from March to April, up to 2.64 million tons, as U.S. buyers sought relief from climbing domestic prices and limited supplies. This is the highest total monthly import level seen since July 2020 when imports were 2.71 million tons. Import licenses currently for May are at 2.52 million tons, down 4% from […]
Zekelman Industries plans to build a fully automated warehouse at its Wheatland Tube facility in Warren, Ohio. The highly automated, 83,000-square-foot warehouse is scheduled to begin operating in December 2022. The new warehouse will convey pipe from the production lines of the manufacturing facility into the warehouse storage system. From there, pipe is automatically moved […]
Prices for all of the steelmaking raw materials tracked in this SMU analysis increased from April to May, with most products following large gains seen in previous months. Over the last 30 days, pig iron and coking coal prices have increased 17-19%, respectively. In that same period, prices increased for iron ore 9%, zinc 6%, scrap 5% and […]
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 Increased directional volatility as well as inter-day volatility have helped increase hot rolled open interest. May is proving to be […]
U.S. raw steel production in March increased nearly 870,000 tons or 12.5% from February, reaching 7.83 million net tons, according to recently released American Iron and Steel Institute data. March marks the highest production level seen since January 2020 when 8.44 million tons were produced by domestic mills. March production is up 120,000 tons or […]
Hot-rolled coil prices continue their unrelenting march upward. Steel Market Update’s benchmark hot-rolled coil price now stands at $1,590 per ton ($79.50/cwt), up $20 per ton from a week ago and up $180 per ton versus last month. Lead times remain extended at eight to 12 weeks. And SMU’s Price Momentum Indicator continues to point […]
Ferrous scrap prices in the U.S. are likely to see a big jump in June, estimated at $50-60 per gross ton or more, primarily as a result of strong demand from foreign buyers, sources tell Steel Market Update. “June will bring significant price increases for ferrous scrap. The biggest factor is the strength of the […]
Raw steel production by U.S. mills totaled 1,793,000 net tons in the week ended May 22, down 0.3% compared to the week prior when production totaled 1,799,000 net tons, according to the American Iron and Steel Institute (AISI). The mill utilization rate last week averaged 79.0%, down from 79.2% the week before but up 46.6% […]
Nucor Steel Berkeley notified customers yesterday, May 24, that it is raising published prices on most of its structural steel products by $100 per ton ($5.00/cwt), effective immediately, in the latest of a series of price hikes dating back for a year. “As always, we will monitor the marketplace and respond accordingly to changes so […]
SSAB Americas and Evraz North America have followed Nucor in increasing plate prices by at least $100-150 per ton ($5-7.50/cwt). Both steelmakers said their price hikes were effective immediately in letters to customers dated Thursday, May 20. SSAB said the $100-per-ton increase applied to as-rolled mill plate and coil as well as to cut-to-length plate more […]