The following press release was made earlier today regarding two investments which are being made in the AM/NS Calvert steel mill (former ThyssenKrupp Steel USA Calvert mill). The two investments will assist in bringing the mill up to its 5.3 million metric ton (5.8 million net tons) target for production. The release (below) came from […]
AK Steel announced today the completion of the $707 million purchase of Severstal Dearborn, which includes a cokemaking facility and interest in three joint venture steel processing facilities. The mill will be renamed “Dearborn Works.” “At AK Steel, the future is now, and the future is bright, as our acquisition of Dearborn Works makes us […]
Steel Dynamics Inc. announced today the completion of the acquisition of Severstal Columbus for a purchase price of $1.625 billion. “I would like to enthusiastically welcome the Columbus employees, community, and customers into the Steel Dynamics family,” stated Mark D. Millett, Chief Executive Officer. “The successful completion of the Columbus acquisition is an important milestone […]
On Friday, Saikat Dey and nine other executive managers who operated out of the Severstal Dearborn facility were relieved of their positions. SMU sources confirmed that the top two commercial people: Sachin Shivaram and the general manager of sales, Scott Gosselin, were on the list of those not retained as the facility prepares to be […]
US automotive sales topped 1.58 million vehicles in March, an increase of 5.4 percent compared to August 2013 and the highest total since August 2003. Sales on a seasonally adjusted annual rate rose to 17.45 million units, according to WardsAuto, beating analyst estimates of 16.6 million. It was the first time the seasonally adjusted annual […]
Developed by research and development teams in France and the USA, the Fortiform™ range will initially be produced and developed at two ArcelorMittal sites in Belgium: Gent and Kessales (Liège). The new Fortiform™ range of advanced high strength steels (AHSS) for cold stamping could lead to further weight savings of up to 20% in vehicle […]
Australian company BlueScope Steel announced FY 2014 underlying EBIT of AUD 104.6 million (USD 97.2 million) for its 50 percent ownership of U.S. based North Star BlueScope Steel. The increased profit, up 57 percent from FY 2013 AUD 66.7 million, was due primarily to stronger spread from higher hot rolled coil prices that were partially […]
U.S. light vehicle sales declined slightly from June’s high level but, at a seasonally adjusted annual rate (SAAR) of 16.5 million units, were still very strong. Sales have now exceeded 16.0 million units SAAR for five straight months. Sales in July of autos and light trucks were 8.0 and 8.5 million units, respectively. Autos declined […]
With August steel imports looking like they may exceed May’s high of over 4 million tons and the recent influx of steel at the Port of Houston, Steel Market Update asked other U.S. ports to give their assessment of steel volume and port conditions. Port of Los Angeles “The Port of Los Angeles has seen […]
American Iron and Steel Insitute (AISI) President and CEO Thomas J. Gibson spoke about currency manipulation at a press conference at the City Club in Cleveland, Ohio on Thursday. American steel producers are “under attack from surging imports benefitting from unfair trade practices—like currency manipulation,” said Gibson. Gibson was joined by former Missouri Governor Matt […]
Pricing in the HRC futures market has continued slightly upward this week stemming from positive economic data and a bullish outlook within the steel industry. September prices have been trading around $655-667, October prices have been trading between $640-657, and Q4 has traded between $645-651, all about $5-10 improvements week on week. Further down the […]
We spent the last two days canvassing as many buyers and mill sellers of steel as we possibly could. Our goal was to gather enough information so we could speak to the development of this market and the direction prices should go from here. What we found is a market that is perhaps stronger than […]
The service centers who sell secondary or excess prime flat rolled steels are reporting a very tight market as less material is being made available out of the steel mills and holes are developing in steel service center inventories. Secondary steel buying prices out of the domestic mills have been moving up but have not […]
We are starting to learn that the holdup on the flat rolled dumping suits has been due to the desire by the domestic mills to protect the automotive companies. If suits are filed look for exclusions on I.F. steels and potentially coils wider than 60 inches. We have heard from both mill and non-mill sources […]
Kloeckner Metals Corp. shipments fell by 3.8 percent year-on-year in the first half of 2014, due to the extended winter, consolidation of sites and the reduction of low-margin business. EBITDA improved by 27 percent from €41 million to €52 million ($55 million to $69.7 million), helped by operational improvements and higher-margins. The company expects US […]
Olympic Steel & Aluminum posted the highest net sales in its history. Second quarter sales increased 16.7 percent year-over-year to $386.0 million, due to increased market share and higher sales volume. Net income jumped 38 percent to $3.5 million from $2.5 million in Q2 2013. Flat product volume was up 17 percent in Q2 to […]
The Steel Market Development Institute (SMDI), a business unit of the American Iron and Steel Institute (AISI) announced that Dr. Jody N. Hall will succeed Ronald P. Krupitzer as Vice President Automotive Market following Mr. Krupitzer’s retirement at the end of the year. Dr. Hall is a former Technical Integration Engineer at General Motors Company […]
US automotive sales were hot in July with double digit increases for many automakers. WardsAuto estimates 1.43 million vehicles were delivered in July, a 9.1 percent over July 2013. The seasonally adjusted annual rate of 16.4 million came in lower than the consensus range forecast of 16.6 million to 17.2 million. Summer sales incentive helped […]
Armada Corporate Intelligence reported there may be some challenges to automotive sales looming on the horizon. The rate of disposal of older vehicles is not keeping pace with new car sales. But, that is just one of the issues the automotive companies may face. The following article came from the Friday, August 1, 2014 issue […]
AM/NS Calvert production continues to increase with the hot mill running at 83 percent utilization in June. Initial slab shipments from ArcelorMittal Tubarao and ArcelorMittal Mexico were received in second quarter and are currently in trials. ArcelorMittal is still determining what the final split will be on shipments from the two mills to the US—Tubaro […]
ArcelorMittal posted a profit of $52 million in the second quarter, following a string of quarterly losses that included a $205 million loss in Q1 2014 and a $780 million loss in Q2 2013. Steel shipments increased by 2.5 percent y/y to 21.5 million tonnes (23.7 million net tons). Net debt decreased to $17.4 billion […]
Big River Steel CEO John Correnti says government should “stay out” of private industry. What appeared to be a contradiction after receiving more than $125 million in incentives from the state of Arkansas, Correnti stated in an interview with Arkansas Business that states have to invest in big business in order to stay competitive, but […]
Improved demand and higher prices in North America helped SAAB Americas report a strong profit for second quarter and the first half of 2014 after reporting losses in both time periods in 2013. SSAB Americas steel sales soared 15 percent year over year in the second quarter of 2014 and 9 percent on a quarterly […]
WASHINGTON, D.C. – The American Iron and Steel Institute (AISI) today announced the release of its 2013 Annual Statistical Report (ASR). The 2013 ASR shows that U.S. steel production, shipments, imports and exports all decreased in 2013 vs. 2012, as U.S. steel markets remained below pre-recession levels. U.S. steel shipments were at 95 million net […]
AK Steel has announced that it will acquire the Severstal Dearborn a cokemaking facility and three joint ventures from OAO Severstal for $700 million. Here is the AK Steel press release: West Chester, OH, July 21, 2014—AK Steel (NYSE: AKS) said today that it has signed an agreement to acquire Severstal North America’s integrated steelmaking […]
Steel Dynamics has announced the purchase of the Severstal Columbus steel mill for $1.625 billion in cash. According to the mill the purchase price will be financed with available cash and debt. The Columbus mill expands their hot rolled steel production by 3.4 million tons and broadens their product portfolio as well as geographical reach […]
On Monday, July 21, 2014 OAO Severstal announced the sale of their two steel mills located in the United States for $2.325 billion. The two mills, Severstal Dearborn and Severstal Columbus were purchased by AK Steel and Steel Dynamics (SDI), respectively. The acquisition of the Severstal assets by two existing steel suppliers is being touted […]
Steel Market Update is well aware of the rumors which have been circulating regarding the potential sale of the Severstal North American steel mills. Late last week we learned from our sources that Steel Dynamics and AK Steel were close to purchasing the two U.S. steel mills owned by OAO Severstal out of Russia. Steel […]
U.S. light vehicle sales beat expectations again in June by surging to 17.0 million units at a seasonally adjusted annual rate, (SAAR). This was the best performance since mid-2006. All of the improvement was in auto sales which increased from 8.1 to 8.3 million SAAR. Light truck sales were flat at 8.7 million. Pent-up demand, […]
As you may have noticed, we have been writing a series of articles highlighting the benefits of our Premium membership. Through the end of July, our Executive members will have access to our Premium content. If you have not yet explored our Premium content, such as SMU’s survey data or imports by product/port/country, I would […]