On Thursday I provided some of the feedback I was getting from those involved in both the sales and purchasing of flat rolled steel into the North American markets. The comments continued to flow in and here are a couple more that I found interesting: The general manager of a service center provided these insights […]
U.S. manufacturers have requested a total of 93,933 exclusions from steel tariffs and 13,249 exclusions from aluminum tariffs since the Trump administration imposed Section 232 in 2018. To get an exemption, an applicant must make the case that the metal they require is not available domestically in a sufficient quality or quantity. While Commerce has […]
I have been spending time looking at market momentum, lead times (real, not from our survey), who is buying and who is not (and why), and what the market should be concentrating on over the next couple of months (not just today). I am going to start with comments I got from a couple of […]
Steel and aluminum producers agree that lighter, more fuel-efficient vehicles are better for the environment—but that’s where the consensus ends. In letters to the editor published recently by Automotive News, the American Iron and Steel Institute and the Aluminum Association wielded dueling studies to support their claims that theirs is the material of choice to […]
The composite producer price index of commodities peaked in October 2018, then through December 2019 declined by 2.6 percent. This Steel Market Update report is an analysis of Bureau of Labor Statistics data and is intended to provide subscribers with a view of the competitive position of sheet steel, aluminum, plastic and wood. The analysis […]
The Senate voted its approval of the United States-Mexico-Canada Agreement in a sweeping 89-10 bipartisan vote on Thursday. The trade agreement now goes to President Trump for signature. The Canadian parliament is expected to follow suit, allowing the USMCA to be implemented later this year. The final agreement adds language addressing the internet, digital services and […]
Following the recent attacks in Iran, President Trump has imposed new sanctions on Iran including targeting 13 Iranian steel and mining companies. Additionally, sanctions will be imposed on three Seychelles-based entities, aluminum and copper companies and the Liberian-flagged and Chinese-owned vessel Hong Xun, known to transport metal products. “We are also designating Iran’s largest metals […]
Flack Global Metals has hired metals industry veteran Ben Markham as chief commercial officer. Markham brings 30 years of senior management experience to FGM and will play a key role in the leadership, design and execution of the company’s commercial development activities and corporate branding. Markham, a veteran of the U.S. Air Force, has extensive […]
A recent study by the Federal Reserve concludes that the Trump administration tariffs are doing more harm than good to the U.S. economy and manufacturing. Federal economists Aaron Flaaen and Justin Pierce examined the impact the “unprecedented” number of tariffs imposed under the Trump administration have had on the U.S. manufacturing sector. Escalation of tariff […]
A.M. Castle & Co., a global distributor of specialty metal and supply chain services, announced that President Marec Edgar has been named chief executive officer following the retirement of Steve Scheinkman as chairman and CEO. Scheinkman will remain on Castle’s board of directors serving as a senior advisor. Mike Sheehan, currently a director, will assume […]
At the end of August, Steel Market Update will host our 10th SMU Steel Summit Conference. Our conference will be the largest flat rolled and plate steel event in North America during this calendar year. The 2020 SMU Steel Summit Conference is going to be our best attended and most informative conference yet as 1,200 […]
At the end of August, Steel Market Update will host our 10th SMU Steel Summit Conference. Our conference will be the largest flat rolled and plate steel event in North America during this calendar year. The 2020 SMU Steel Summit Conference is going to be our best attended and most informative conference yet as 1,200 […]
The Congressional Budget Office expects the U.S.-Mexico-Canada Agreement to result in higher than expected tariff revenue for the United States on motor vehicles and parts due to stricter rules of origin and labor value content requirements. Included in the revenue calculation is an estimated $3 billion in tariffs to be paid by automakers over the […]
Trade attorney and Steel Market Update contributor Lewis Leibowitz offers the following update on events in Washington: Happy New Year to all. The president has imposed a host of import restrictions and sanctions since 2017. The list is extensive and the statutes under which he claims to be acting can be bewildering: Section 232, Section […]
The December Manufacturing ISM Report on Business showed economic activity contracting in the U.S. last month. The PMI fell 0.9 points to 47.2 percent and its lowest reading since July 2009. A PMI below 50 indicates business is contracting and a reading above 50 indicates expansion. The December PMI marks the fifth consecutive month of contraction. […]
By Peter Ghilchik, Head of CRU Multi Commodity Analysis and Production, from CRU’s Global Steel Trade Service CRU expects a return to commodity demand growth in 2020, albeit a weak recovery, as industrial production growth recovers to 2.2 percent; however, risk is heavily weighted to the downside. Economic uncertainty, weak demand and an increasing focus on […]
Steel buyers sentiment has seen little change in the past several weeks as the market pauses to digest the latest price increases and looks ahead to the beginning of the new year. The goal of the index is to measure how buyers and sellers of steel feel about their company’s ability to be successful today […]
President Trump is walking back his decision to impose tariffs on steel and aluminum imports from Brazil. After accusing Brazil and Argentina earlier this month of currency manipulation that is harming U.S. farmers, and threatening immediate tariffs in retaliation, Trump now says he will not follow through on his threat. Brazilian President Jair Bolsonaro said […]
Members of the Precision Metalforming Association are a bit more positive about business conditions for 2020. The December PMA Business Conditions Report shows an uptick in the percentage of survey participants who predict an improvement in economic activity during the next three months, while also noting a decline in current average daily shipping levels. The […]
In Steel Market Update’s latest raw materials report, Table 1 summarizes the price changes through Dec. 18 of the five materials considered in this analysis. It reports the month/month, 3 months/3 months and 12 months/12 months changes on a percentage basis. Four of the five materials under consideration had a positive price movement in December. […]
Trade attorney and Steel Market Update contributor Lewis Leibowitz offers the following update on events in Washington: Last week was one of the most eventful for trade this year: USMCA Agreement Editor’s note: The House voted to pass the USMCA earlier today. The Senate is unlikely to vote on the measure before completion of the […]
Registration for the 2020 SMU Steel Summit Conference is now open. You can register through our website: www.SteelMarketUpdate.com/Events/Steel-Summit or through the CRU website. 2020 Conference Dates: Monday, Aug. 24-Wednesday, Aug. 26 Location: Georgia International Convention Center (www.gicc.com) same location as 2019. Cost: $1,375 per person (same as 2019) with $100 per person discounts for SMU/CRU […]
Reliance Steel & Aluminum Co. plans to acquire Fry Steel Co., a general line and long bar distributor in Santa Fe Springs, Calif. Fry Steel performs cutting services on its diverse product assortment of over 8,000 types and conditions of long bar product including stainless, alloy, aluminum, carbon, brass and bronze. The acquisition will complement […]
After declining for much of 2019, steel prices have moved up substantially in the last two months. Will the trend continue into 2020? Flat rolled steel producers raised prices three times during October and November for a total of $110 per ton. (Editor’s note: ArcelorMittal USA announced an additional $40 flat rolled increase on Friday. […]
A new report by the World Trade Organization shows trade restrictions by WTO members are at historically high levels. Between mid-October 2018 and mid-October 2019, the trade coverage of import-restrictive measures implemented by members was estimated at $747 billion, an increase of 27 percent from the prior year and the highest level since October 2012. […]
Nucor’s Board of Directors has elected Leon J. Topalian as a director and John H. Walker to serve as Non-Executive Chairman of the Board of Directors, both effective Jan. 1, 2020. Topalian is the President and Chief Operating Officer of Nucor and will become the Chief Executive Officer of Nucor on Jan. 1, 2020. Walker, […]
Changes may be coming for two joint ventures held by Brazilian mining giant Vale, including California Steel Industries. Vale is looking to trim costs as it continues to make reparations stemming from the Brumadinho tailings dam collapse that took 270 lives and caused major environmental damage to the region. At Vale Day on Dec. 2 […]
CNBC reported comments made by White House Economic Advisor Larry Kudlow on Tuesday saying, “The reality is those tariffs are still on the table.” This is in reference to the tweet from President Trump regarding steel from Brazil and Argentina. Steel buyers should be aware that there has not been a presidential proclamation, or anything […]
SMU Events is pleased to update the status of our popular Steel 101: Introduction to Steel Making & Market Fundamentals Workshops as well as more information on the 2020 SMU Steel Summit Conference. For those interested in attending one of our Steel 101 workshops. Our California workshop is now 90 percent full. We have approximately […]
Steel buyers sentiment, which had been trending up for the past several weeks right along with steel prices, showed the first signs of leveling off this week. Both the Current and Future Sentiment readings had only a 1 point change in the latest data. The goal of the index is to measure how buyers and […]