Ferrous scrap for February is settling at sideways prices for obsolete grades and down about $20 per ton for prime grades, report Steel Market Update sources. This latest dip follows on a $30-40 per ton decrease in January, largely attributed to weak demand from overseas. “A rising export market, which curtailed East Coast suppliers from […]
By CRU Australia Analyst Ryan Smith China has traditionally dominated long product exports to the South East Asia (SEA) region. However, a change in market dynamics has reduced Chinese export volumes and created an opportunity for exporters from further afield. In Turkey, economic challenges, in combination with rising trade barriers such as EU safeguards and […]
By CRU North America Steel Analyst Ryan McKinley Since Section 232 tariffs have come into force, U.S. wire rod prices have increased more than other markets. As a result, domestic PC strand (prestressed concrete steel strand) producers have seen costs increase, inviting more competition from abroad. Higher Prices Affecting Competitiveness Rising U.S. domestic wire rod […]
Harsh winter weather likely contributed to a slight slowdown in the rate of raw steel production last week after two weeks above 1.9 million tons. U.S. steelmakers produced 1,889,000 net tons of steel in the week ending Feb. 2, operating at a capability utilization rate of 81.2 percent. Production was down 1.7 percent from the […]
By CRU Senior Analyst Erik Hedborg Iron ore prices continued to climb during the week as uncertainty regarding Vale’s supply persists. With weak buying in China due to the holidays, we have seen the market react by pushing the 62% Fe fines price up to $86.00 /t, $7.40 higher w/w. The Vale story continues to […]
U.S. Steel Corp. plans to restart the No. 1 Electric-Weld Pipe Mill at its Lone Star Tubular Operations—a mill that had been “permanently” idled in 2016 due to the challenging conditions for tubular products created by fluctuating oil prices, reduced rig counts and high levels of imports. “We are encouraged by an improvement in market […]
The new year has gotten off to a positive start for members of the Heating, Air-conditioning and Refrigeration Distributors International (HARDI), who supply steel products to the HVAC market. Most are optimistic about business, at least in the coming quarter, but comments during their monthly conference call today reflected some disagreement over steel prices. “We […]
The Association of Steel Distributors has selected Andrew (Andy) Gross as its 2018 Steel Executive of the Year. Gross is president and CEO of Alliance Steel, Bedford Park, Ill. A long-time member of ASD, Gross has served as president and chairman of the service center trade group since 2017. He is also a member of […]
By CRU Principal Economist Lisa Morrison The partial U.S. government shutdown, which began on Dec. 22, 2018, lasted 35 days and is the longest shutdown in U.S. history. President Trump decided to re-open the government until Feb. 15 to allow time for additional negotiations regarding the border security issues. The Congressional Budget Office estimates that […]
Pointing to the temporary reprieve from the longest government shutdown in American history, the U.S. Chamber of Commerce calls on Congress and the administration to work together to keep the government open. “Our nation simply cannot afford another shutdown. Our message to Washington’s leaders is simple: do your jobs so Americans can do theirs,” wrote Chamber […]
By CRU Senior Analysts Erik Hedborg and Andrew Gadd The death toll after the tailings dam accident at Vale’s Córrego do Feijão mine continues to climb, as 84 people are now confirmed dead and close to 300 are still missing. Five people have been arrested; three managers at the Córrego do Feijão mine site and […]
President Trump signed an executive order today intended to boost the use of American-made iron, steel and other manufactured products in infrastructure projects by adding pressure on private and public sector entities that receive federal financial assistance. Called “Strengthening Buy American Preferences for Infrastructure Projects,” the order directs agency heads to “encourage recipients of new […]
Steel Market Update has confirmed that ArcelorMittal joined the other major mills in raising flat rolled steel prices this week. ArcelorMittal notified its commercial team that it is raising base prices a minimum of $40 per ton on all light flat rolled sheet products, effective immediately. The increase applies to all new and unacknowledged orders […]
Whether the mills succeed in collecting the $40 increase on flat rolled they announced in recent days depends a lot on how strong demand proves to be in the first quarter. Such price hikes are common in January as the mills anticipate a pickup in business following the seasonal slowdown in the fourth quarter. Service […]
The Steel Manufacturers Association would like to see the U.S.-Mexico-Canada Agreement ratified by the three countries, even if it calls for a change to the tariffs. Speaking at a press briefing during SMA’s board meeting Thursday in Washington, SMA President Phil Bell said the modernized trade rules in the USMCA are an improvement on NAFTA. […]
Steel Market Update has confirmed that ArcelorMittal joined the other major mills in raising flat rolled steel prices this week. ArcelorMittal notified its commercial team that it is raising base prices a minimum of $40 per ton on all light flat rolled sheet products, effective immediately. The increase applies to all new and unacknowledged orders […]
Major domestic steelmakers have announced a $40 per ton ($2/cwt) hike in the price of hot rolled, cold rolled and galvanized steel products, fueling the debate over whether current market conditions can support an increase or if the latest announcement is bound to flop like the last one in October. West Coast mills California Steel […]
By CRU Iron Ore Senior Analyst Erik Hedborg The tragic dam accident in Brazil together with a cyclone off the Australian coast lifted iron ore prices in the past week. On Tuesday, Jan. 29, CRU has assessed the 62% Fe, CFR China fines price at $78.60 /t, up $2.60 /t w/w. The tragic accident in […]
U.S. steelmakers operated at 81.1 percent of their capability in the week ending Jan. 26, producing 1,922,000 net tons of raw steel. It has been a year since the mills produced that much in a single week. It was also the second week this month that steel production was above 1.9 million tons. Steel production […]
U.S. Steel is the latest mill to announce a price increase. Like Nucor, U.S. Steel notified its sales organization on Monday that its base pricing for all new flat rolled spot orders would increase by a minimum of $40 per net ton, effective immediately. U.S. Steel’s last price change on flat rolled was also a […]
U.S. Steel is the latest mill to announce a price increase. Like Nucor, U.S. Steel notified its sales organization on Monday that its base pricing for all new flat rolled spot orders would increase by a minimum of $40 per net ton, effective immediately. U.S. Steel’s last price change on flat rolled was also a […]
Following on last week’s announcement by West Coast mills, Nucor’s Sheet Mill Group today also announced a $40 per ton ($2/cwt) increase on hot rolled, cold rolled and galvanized steel products, effective immediately on new and unconfirmed orders. The price hike comes as no surprise as Nucor and other mills east of the Rockies were […]
Following on last week’s announcement by West Coast mills, Nucor’s Sheet Mill Group today also announced a $40 per ton ($2/cwt) increase on hot rolled, cold rolled and galvanized steel products, effective immediately on new and unconfirmed orders. The price hike comes as no surprise as Nucor and other mills east of the Rockies were […]
Steel Market Update sources disagree on whether ferrous scrap prices will see a small decline or move sideways in February. But the market remains unusual for this time of year when scrap prices normally increase as the mills restock ahead of new-year steel demand. Scrap prices surprised the market with a $30-40 per ton decrease […]
By CRU Steel Editor Linda Lin, Shanghai, China Through late December and the first half of January, Chinese exporters were able to realize a small increase in steel export prices for the first time since August. The m/m increase in HR coil was limited to $2 /t, while rebar prices rose by $6 /t. Price […]
Steel Market Update’s Steel Buyers Sentiment Index, which has been on a downward trajectory for months, has shown no signs of changing direction so far in 2019. The SMU Index continues to be well within the “optimistic” range, but is not as high as what we saw one year ago and is flat compared to […]
Mill lead times for spot orders of flat rolled steel continued to shrink this month. Even plate, which has been in short supply, is showing signs of loosening with its average lead time dipping to less than six weeks from more than seven weeks at the beginning of January. Lead times for steel delivery are […]
Halfway through the first month of the year, buyers report that most mills are willing to talk price to secure the order. Even price negotiations with plate mills are beginning to loosen up. Nearly half (47 percent) of plate buyers responding to Steel Market Update’s market trends questionnaire this week said suppliers are now open […]
Steel Market Update asked: When do you expect flat rolled steel prices to reverse course and begin rising? Judging by the widely varied responses to this week’s market trends questionnaire, there is no clear consensus among steel buyers on when prices will turn around. A small group, about 6 percent, said they believe prices will […]
California Steel Industries (CSI) and USS-POSCO Industries (UPI) announced price increases of $40 per ton ($2.00/cwt) on Monday, hoping to stem the slide in flat-rolled steel prices that began last summer. The announcements do not include plate. In its Jan. 21 letter to customers, CSI stated that it is opening its order book for flat-rolled […]