US Steel stunned analysts and the financial community on Tuesday/Wednesday when the company announced a large loss when the street was expecting the company to make money. During the conference call the mill advised that they essentially need to upgrade their facilities in order for the company to remain competitive. The stock price dropped 25 […]
Steel Dynamics announced net income of $20 million for fourth quarter 2016. Company net sales totaled $1.9 billion, down from $2.1 billion in third quarter. Operating income decreased to $239.5 million from $338.7 million in the previous quarter. Steel shipments for the quarter totaled 2.2 million; fabrication shipments totaled 131,186 tons. Average selling price for […]
Turkish steel producers have filed new antidumping and countervailing duty petitions on hot-rolled coil imports from China, Russia and Ukraine. An AD investigation was previously initiated in January 2015 on HRC imports from China, Japan, France, Russia, Ukraine, Romania and Slovakia in January 2015 but was terminated by the Turkish Economy Ministry after petitioners withdrew […]
Earlier today California Steel and Steel Dynamics filed a Request for Circumvention Ruling with the U.S. Department of Commerce against Vietnam. One of the trading companies Steel Market Update spoke to this afternoon termed the complaint a “game breaker” for steel trading companies importing foreign steel who will now shy away from any country that […]
Nucor Corporation announced today that it has agreed to acquire Independence Tube Corporation (ITC), a leading independent manufacturer of hollow structural section (HSS) steel tubing, for $435 million, or approximately 6x average EBITDA over the 2013-2015 period. “Independence Tube is a natural fit with Nucor. Their business model is similar to ours with extremely efficient […]
Essar Steel Algoma issued layoff notices to approximately 70-85 employees just before the Labor Day weekend citing low demand and pricing for steel plate. Plate demand is down in the energy, rail and agricultural markets and is coupled with prices below hot-rolled coil due to low priced and dumped imports. Said Brenda Stenta, spokesperson for […]
Steel Dynamics announced second quarter 2016 net income of $142 million on net sales of $2.0 billion. In comparison, net sales in Q1 totaled $1.7 billion with net income of $63 million and year ago sales were $2.0 billion with adjusted net income of $53 million. A decline in imports of flat rolled steel and […]
The following article was written by SMU founder and publisher, John Packard with the assistance of Platts Content Director, Metals Americas, Joseph Innace. Shortly after Steel Market Update (SMU) became a real company I understood the need for the flat rolled steel industry to have an pricing index which was independent and not tied as […]
The following article was originally produced by the Wall Street Journal on March 14, 2016. The U.S.’s biggest iron ore miner Monday said it would restart a key mine in Minnesota, a positive sign for the battered U.S. steel industry following a small uptick in prices and new import tariffs on foreign steel. Cleveland-based Cliffs […]
The following is a reprint of an article by Dr. Mark J. Perry in response to the Wall Street Journal article about the duties imposed on imports of cold-rolled steel from China that SMU publisher John Packard was quoted in. Dr. Perry is a Scholar at The American Enterprise Institute and Professor of Finance and […]
World Steel Exchange Marketing (WSEM) announced that the US Shredded Steel Scrap TSI Index will begin futures trading on the Nasdaq Commodities Exchange (Stockholm) as of March 29, 2016. The 20-gross-ton USA Midwest shredded steel contract will be listed, and quoted, for the current month and each of the next 11 months. The contract will […]
Steel Dynamics admitted in their conference call with analysts earlier today, that the timing is not right for a trade case against cold rolled and coated steels (the question asked was about Chinese the answer did not reference any specific country). We thought our readers would be interested in the complete dialogue between two of […]
Hot-rolled coil steel from Germany, China and France may soon be subjected to antidumping duties from Mexico. Mexico’s Ministry of economy has launched an investigation following a complaint by Ternium Mexico and Altos Hornos de Mexico (AHMSA) that imports of HRC from the three countries between 2011 and 2013 lowered prices and harmed Mexican producers. […]
Steel Market Update is aware that many buyers and sellers of steel have been keyed in on the variations between various flat rolled steel indexes. In the past, Steel Market Update found the spread between our steel index and those of Platts and CRU to generally be negligible ($1-$10 per ton at any one time). […]
Steel Market Update is aware that many buyers and sellers of steel have been keyed in on the variations between various flat rolled steel indexes. In the past, Steel Market Update found the spread between our steel index and those of Platts and CRU to generally be negligible ($1-$10 per ton at any one time). […]
Even as other companies were issuing lower guidance due to weather and its impact on negatively impacting their earnings during the first three months 2014, Worthington Industries reported their fiscal year 2014 3rd Quarter results which ended on February 28, 2014 as being the best in the company’s history. The company reported earnings of $40.6 […]
Usually the news about price increase announcements is regarding the ability of the steel mills to collect all, or a portion, of the announced flat rolled price increases. With the latest announcements made last week led by ArcelorMittal on Monday and then followed by the rest of the industry as the week progressed, the question […]
The following information was in a press release received by SMU from CRU. We have requested more information from CRU regarding the audit, how it has impacted their data providers and any other pertinent information they were able to gather through the process. We will follow up with another article when we receive information from […]
The CME Group announced it had record volumes for its NYMEX U.S. Midwest Hot-Rolled Coil Steel Index futures (HRC) and options (HRO). During the month of February HRC futures recorded 6,619 contracts eclipsing the previous record set in January 2012 of 6,214 contracts. At the same time HRO (options) contracts which have only been available […]