The U.S. exported 709,496 tons of steel in October, according to final Census data, a 15 percent increase from September and up 12 percent from the same month one year ago. October exports were 13 percent above the 2019 average of 625,236 tons, but remain significantly muted compared to recent years. As shown in the […]
By CRU Chief Economist Jumana Saleheen, from CRU’s Global Steel Trade Service This piece sets out insights gained from a visit to CRUs Beijing office. The trade war has been an unexpected headwind to China’s economy and there is a real concern about the risks of a sharper than desirable growth slowdown. In response the government […]
Editor’s note: President Trump’s surprise decision to impose 25 percent tariffs on steel and aluminum imports from Argentina and Brazil stunned the industry and leaves many questions unanswered. Paul Nathanson, executive director of the Coalition of American Metal Manufacturers and Users (CAMMU), addressed the issue in the following op-ed: President Trump announced via tweet on Monday that […]
Total light vehicle sales are likely to reach 17.1 million units this year, down 1.4 percent from 2018 and above 17 million for the fifth straight year, says J.D. Power and LMC Automotive. As usual, sales were strongest for SUVs and trucks. U.S. auto sales rose for most foreign automakers during November. Toyota sales increased […]
November’s licensed import volume of total rolled steel products was the lowest since February 2010. Year over year, total rolled product imports in November were down by 27.4 percent on a three-month moving average (3MMA) basis. This follows the 17.7 percent decrease in October and 15.5 percent decline in September on the same basis. This […]
This morning President Trump tweeted that due to the decline in the Brazilian and Argentinian currencies, he intends to place 25 percent tariffs on steel and a 10 percent tariff on aluminum from both countries. His tweet has created a great deal of confusion in the U.S. steel markets. Steel Market Update is attempting to […]
This morning President Trump tweeted that due to currency manipulation by Brazil and Argentina, he intends to place 25 percent tariffs on steel from both countries, and a 10 percent tariff on aluminum. His tweet has created a great deal of confusion in the U.S. steel markets. Steel Market Update is attempting to help calm […]
Trade disputes and uncertainty regarding U.S. economic growth are causing businesses to delay or cancel construction plans, said the Associated General Contractors of America in a new analysis of construction spending data. Construction spending declined 0.8 percent in October from September, but topped year-ago levels by 1.1 percent as decreases in private nonresidential, multifamily and […]
Irrespective of the GM strike, light vehicle assemblies in North America slowed through October. This report is based on data from LMC Automotive for automotive assemblies in the U.S., Canada and Mexico. The breakdown of assemblies is “Personal” (cars for personal use) and “Commercial” (light vehicles less than 6.0 tonnes gross vehicle weight rating). Heavy […]
A strike by 3,200 Teamster union employees at Canadian National Railway is causing disruption in both Canada and the U.S. Now in its sixth day, with no end in sight, a shortage of propane is imminent for Ontario and Quebec as well as delays to shipping across the manufacturing industry. CN transports more than CAD […]
By Senior Analyst Manjot Singh, from CRU’s Steelmaking Raw Materials Monitor The past week was characterized by improving sentiment in the Chinese and Indian steel industry. Chinese HRC and rebar prices increased substantially w/w (see data below) on the back of higher demand. Even the HRC prices in India witnessed a $7 /t increase w/w, […]
By CRU Research Manager Paul Butterworth, from CRU’s Global Steel Trade Service Although profitability for domestic sales in China has fallen sharply in 2019, steel exports from the country have not risen. Historically, when domestic profitability dropped, exports would rise. Prior analysis has shown that the strength of the domestic market is a key driver […]
By CRU Analysts Kevin Bai and Iris Speelmanns, from CRU’s Iron Ore Costs China has launched a probe into steelmaking capacity to understand the true state of the industry. If the government views the current state as detrimental to its reform agenda, orders to curb supply could be forthcoming. If enough capacity is curbed, this […]
Demand for steel sheet products declined by more than the seasonal norm in September. This analysis by Steel Market Update 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 (DoC). The analysis summarizes total steel supply by product from 2003 […]
October’s licensed import volume of total rolled steel products continued the decline from September and was the lowest since February 2011. Rolled product imports in October were down by 17.7 percent on a three-month moving average (3MMA) basis year over year. This follows the 15.5 percent decline in September. This early look at October’s import […]
By Senior Analyst Ryan McKinley, from CRU’s Steel Metallics Monitor The CRU metallics price indicator (CRUmpi) rose by 7.5 percent m/m to 195.7 (see chart) after prices rose in most markets. The most pronounced rebounds were in the U.S. and European scrap markets, while prices in Asia either rose or were stable. Prices in regions […]
September apparent steel supply slipped to 8.7 million net tons, the lowest level seen since December 2017, according to data from the American Iron and Steel Institute and U.S. Department of Commerce. Apparent steel supply, a proxy for demand, is determined by adding domestic steel shipments and finished U.S. steel imports, then subtracting total U.S. […]
Trade attorney and Steel Market Update contributor Lewis Leibowitz offers the following update on events in Washington: The world has grown accustomed to the World Trade Organization. A world without a means to settle disputes through negotiations or, if agreement is impossible, binding dispute resolution, is a hallmark of the WTO system. From 1948 to […]
Trade attorney and Steel Market Update contributor Lewis Leibowitz offers the following update on events in Washington: The world has grown accustomed to the World Trade Organization. A world without a means to settle disputes through negotiations or, if agreement is impossible, binding dispute resolution, is a hallmark of the WTO system. From 1948 to […]
The U.S. exported 614,893 tons of steel in September, according to final Census data, a 6 percent decline from August, but up 5 percent from the same month one year ago. September exports were right in line with the 2019 average of 615,874 tons, but remain significantly muted compared to recent years. It was just […]
The global manufacturing downturn showed some signs of easing in October. The J.P. Morgan Global Manufacturing PMI posted 49.8, still in contraction but rising for the third consecutive month. The intermediate goods sector fell to a three-month low of 48.8, but PMIs for consumer and investor goods saw expansion in October. The Eurozone remained in contraction […]
By CRU Analyst Alexander Ordosch Last week, Turkish scrap import prices were assessed at $248 /t CFR for HMS 80:20. Only one deal was assessed from Europe, after strong restocking activity over recent weeks. Prices have been rising in recent weeks as sellers have pushed for gains as it had become uneconomic to supply at the lower prices […]
By CRU Chief Economist Jumana Saleheen We expect world GDP to grow by 2.5 percent this year and next; in other words, we expect global growth to be broadly stable at current rates. The story for world industrial production, instead, is one of a mild recovery from 1.4 percent in 2019 to 2.2 percent in […]
The following article discussing the global ferrous derivatives markets was written by David Feldstein. As an independent steel market analyst, advisor and trader, we believe he provides insightful commentary and trading ideas to our readers. Note that Steel Market Update does not take any positions on HRC or scrap trading, and any recommendations or comments […]
By CRU Economic Analyst Ippolito Tarabini and Chief Economist Jumana Saleheen World industrial production growth halved in 2019H1 to 1.5 percent from 3 percent in 2018, suffering because of a slowdown in China, the widespread downturn in the automotive sector, and the unpredictable trade negotiations between the U.S. and the rest of the world, particularly […]
Total North American light vehicle assemblies were down by 3.0 percent year over year in three months through August. This report is based on data from LMC Automotive for automotive assemblies in the U.S., Canada and Mexico. The breakdown of assemblies is “Personal” (cars for personal use) and “Commercial” (light vehicles less than 6.0 tonnes […]
Economic activity expanded at a slight to moderate pace across most of the U.S. in September and early October. Reports from the Federal Reserve Districts in the South and West were generally more upbeat than the Midwest and Great Plains, according to the Fed’s latest Beige Book. Manufacturing activity edged lower as firms cited persistent […]
Except for a brief uptick this summer, steel prices have been on the decline since March and breached the $500 per ton level in mid-October—a psychological line in the sand that leaves steel buyers wondering: Have prices hit bottom? Is it time to replenish inventories? Flat rolled steel prices took a steep dive last month, […]
By CRU Prices Analyst Estelle Tran U.S. steel sheet prices have fallen faster in early Q4 than initially expected, as lower demand levels, economic uncertainty and another $30-40 /l.ton decrease in scrap prices in October guided steel prices down. The CRU Midwest HR coil price assessment on Oct. 16 was $507 /s.ton, down $64 from […]
By CRU Analysts Chris Bandmann and Alexander Ordosch In response to events in Syria, U.S. President Donald Trump has announced that the U.S. tariffs on Turkish steel imports will be restored to 50 percent, after they had been revised down to 25 percent in May. What are the likely impacts of this decision? Turkish Exports […]