By Greg Wittbecker, Advisor, CRU Analysis The EU continues to move ahead on its plan to decrease greenhouse gases (GHGs). Here’s some historical context on emissions management in the EU. The EU has been on a long journey to its current condition. Phase 1 of its decarbonization plan took place between 2005-2017. The Emissions Trading […]
By Senior Analyst Ryan McKinley, from CRU’s Steelmaking Raw Materials Monitor The CRU metallics price indicator (CRUmpi) increased by 8.3% m/m in May to 370.7. Following China’s removal of a VAT rebate for steel exports, scrap markets in Asia surged. This momentum carried over to Turkey, where scrap import prices rose substantially m/m, although upward […]
By Josh Spoores, from CRU’s Steel Sheet Products Monitor One year ago, the title of our May Steel Sheet Products Monitor was “Global sheet markets move past bottom of demand cycle.” Today, global sheet consumption continues to rise, reaching levels where current global production cannot keep pace. In addition to the continued demand rebound from […]
By CRU Principal Analyst Erik Hedborg, from CRU’s Steelmaking Raw Materials Monitor The iron ore market has experienced one of the most volatile weeks on record. Prices have traded within a $40 /dmt range within the past week due to demand uncertainty in China. On Tuesday, May 18, CRU assessed the 62% Fe fines price […]
By CRU Principal Analyst Josh Spoores, from CRU’s Steel Monitor Global steel prices, as measured by the CRUspi index, have increased for the 10th consecutive month, gaining 9.4% m/m and 116% y/y. This index now stands at 301.1, a new record high. This index continues to be supported by higher finished steel prices across all regions. […]
By Greg Wittbecker, Advisor, CRU Analysis Primary aluminum prices are on a roll in China and the World ex China. The Shanghai Metal Exchange (SHFE) spot price is 18,425 RMB or $2,825 per metric ton. Even adjusting out the 13% Value-Added-Tax (VAT) embedded in that price, it’s still a 10-year high of $2,500 per metric […]
U.S. steel exports slipped 8 percent in November to 668,000 tons, according to recent U.S. Department of Commerce data. Although down over the prior month, November shows improvement compared to earlier this year; exports are up 79 percent compared to May, when we saw the lowest level in SMU’s 24-year data history. Total November exports […]
The U.S. steel industry has enough capacity to meet demand even if the Biden administration passes a big infrastructure bill, said the top executive of the nation’s biggest steelmaker. The United States “desperately needs” an infrastructure package worth “more than $1 trillion,” and Nucor hopes such a bill will be passed in the early days […]
By CRU Research Analyst Eduardo Tinti, from CRU’s Steelmaking Raw Materials Monitor Iron ore prices continued to rise over the past week. Due to offloading constraints at Chinese ports, iron ore port inventories declined, contributing to the recent price hike. On Tuesday, Jan. 12, CRU assessed the 62% Fe fines price at $172.0 /dmt, $5.0 […]
By CRU Senior Analyst Erik Hedborg, from CRU’s Steelmaking Raw Materials Monitor Iron ore prices have held steady in the past week as restocking activities in China have continued and iron ore inventories at mills have been built up. At the same time, further disruptions in the supply chain have renewed supply fears in the […]
The Canada Border Services Agency has hit heavy plate from Germany and Taiwan with dumping margins as high as 80.6%. CBSA slapped German steelmaker AG der Dillinger Hüttenwerke with a dumping margin of 6.3% on its exports of heavy plate to Canada. All other German exporters face a dumping margin of 68.6%, according to a […]
Global manufacturing ended 2020 with growth rates for production and new orders among the strongest of the past decade. The J.P. Morgan Global Manufacturing PMI posted 53.8, unchanged from November’s 33-month high. Output continued to expand in December, although at a slightly slower pace, and was led by growth in Germany, Brazil and India. New […]
I’m looking forward to next month’s Tampa Steel Conference, where we will discuss lots of steel-related policy issues. The conference provides an opportunity to weigh the importance of the steel industry in the American economy and the global economy. We cannot realistically discuss what to do about steel (or any industry) from either a government […]
Steel price levels are in uncharted territory these days. The current prices, especially in an economy where interest rates are near zero and inflation remains low, are truly remarkable. How did this happen and when will it end? The short answer is that nobody really knows—but we can analyze the events surrounding the spike and […]
Last Thursday, policy wonks observed the confirmation hearing of Katherine Tai to be the new United States Trade Representative, replacing Robert Lighthizer. When a new administration takes over, the previous leadership departs at noon on Jan. 20 and “acting” leadership assumes authority, but generally not much power. The new team is nominated, typically on Jan. […]
Last Thursday, policy wonks observed the confirmation hearing of Katherine Tai to be the new United States Trade Representative, replacing Robert Lighthizer. When a new administration takes over, the previous leadership departs at noon on Jan. 20 and “acting” leadership assumes authority, but generally not much power. The new team is nominated, typically on Jan. […]
International trade problems and their resolutions inherently deal with the most parochial and global interests. Opponents of trade liberalization decry “bad deals” that rob the United States of good-paying American jobs. Proponents support trade deals because they make consumers in America and the world over better off (“save money, live better”). In the 1990s, the […]
“Life’s full of tough choices, innit?” Ursula, The Little Mermaid (1989) That memorable cinematic line brings to mind the dilemmas of trade, diplomacy and national security. Economic interests sometime interfere with military and human rights considerations. Add the COVID pandemic into the mix, which has profoundly affected international commerce. First, the changes in international trade […]
“Life’s full of tough choices, innit?” Ursula, The Little Mermaid (1989) That memorable cinematic line brings to mind the dilemmas of trade, diplomacy and national security. Economic interests sometime interfere with military and human rights considerations. Add the COVID pandemic into the mix, which has profoundly affected international commerce. First, the changes in international trade […]
Every so often there are ideas (but rarely new ones) to “reform” international trade laws. Mostly, the interests that have the ear of Congress (domestic producers of steel, for example, and organized labor) put forward their ideas. Less often, interests that employ more Americans in manufacturing put theirs forward. The two sides of the divide […]
Every so often there are ideas (but rarely new ones) to “reform” international trade laws. Mostly, the interests that have the ear of Congress (domestic producers of steel, for example, and organized labor) put forward their ideas. Less often, interests that employ more Americans in manufacturing put theirs forward. The two sides of the divide […]
Strong demand and tight supply pushed steel prices upwards throughout December, with hot rolled prices nearing quadruple digits as 2020 came to a close. Steel Market Update’s hot rolled price index reached $985 per ton by the end of December, up $180 per ton or 22 percent from the beginning of the month. The SMU […]
By CRU Analyst Estelle Trans, from CRU’s Global Steel Trade Service U.S. buyers have been watching sheet steel prices skyrocket and found themselves weighing high-priced imports out of necessity. The steel market remains supply short, even with the restart of U.S. Steel Gary No. 4 this month, and market contacts expect that the market will […]
By CRU Principal Analyst Chris Asgill, from CRU’s Steelmaking Raw Materials Monitor Russia will impose tariffs of 5% ferrous scrap exports, with a minimum rate of €45 /t ($55 /t), for a period of six months. The country states that these are to protect the domestic metallurgical industry from supply shortages and high prices. As shown […]
By CRU Analyst Sam Grant It is now clear that Joe Biden will become the new president of the United States in January 2021, yet he will need control of the Senate to implement his economic policy agenda. As a result, the contest for two Senate seats in Georgia on Jan. 5 will be crucial. […]
Steel Market Update is please to share this Premium content with Executive members. For more information on upgrading to a Premium level subscription, email Info@SteelMarketUpdate.com. The Energy Information Administration’s Dec. 8 Short-Term Energy Outlook remains subject to heightened levels of uncertainty because responses to COVID-19 continue to evolve. Reduced economic activity from the pandemic has […]
After reaching bottom in June, due largely to the global pandemic, mill shipments and supply of sheet products have since maintained a slow but steady upward trajectory. This analysis is based on steel mill shipment data from the American Iron and Steel Institute (AISI) and import-export data from the U.S. Department of Commerce. The analysis […]
Iron ore surged in early-December as Vale’s lowered guidance fueled concerns about iron ore availability going into 2021. Short-term market tightness also contributed to the rise as Chinese demand remained strong, while seaborne supply has continued to struggle. On Tuesday, Dec. 8, CRU assessed the 62% Fe fines price at $147.0 /dmt, an increase of $15.5 /dmt […]
By CRU Senior Analyst Erik Hedborg from CRU’s Steelmaking Raw Materials Monitor The iron ore price rally has continued in the past week as the market tightness worsened, with continued strong demand while seaborne supply has taken a major hit following the halting of operations at Australia’s two largest iron ore ports due to bad weather. […]
Steel prices continued to climb in November on strong demand and tight steel supplies. Steel Market Update’s hot rolled price index reached $770 per ton by the end of November, up 10 percent from the beginning of the month. The SMU Pricing Momentum Indicator remained at Higher, indicating prices are expected to rise further over […]