Business activity grew at a slower pace than in recent months in New York State, according to firms responding to the December 2018 Empire State Manufacturing Survey. Manufacturing firms surveyed by the Federal Reserve Bank of New York reported that business activity continued to expand in December, though growth was noticeably slower than in recent […]
Net job creation in November totaled 155,000 positions. This was a correction from the very strong result in October, according to Steel Market Update’s latest analysis of Bureau of Labor Statistics employment data. Table 1 breaks total U.S. employment down into service and goods-producing industries and then into private and government employees. Most of […]
The employment situation continues to be excellent with job opportunities higher than the total number of unemployed. Rising employment and wages are the main contributor to GDP growth because personal consumption accounts for almost 70 percent of GDP. Steel consumption is related to GDP; therefore, this is one of the indicators that helps us understand […]
Editor’s note: Steel Market Update is interested in your views of the Trump administration tariffs. Following are comments shared by two SMU readers. To submit your opinions (anonymously if preferred), email John@SteelMarketUpdate.com. Q: Do you think the Section 232 and Section 301 tariffs have accomplished what the president set out to do – improve national […]
The following article on the hot rolled coil (HRC) futures market was written by David Feldstein. As the Flack Global Metals Chief Market Risk Officer, Dave is an active participant in the hot rolled futures market, and we believe he provides insightful commentary and trading ideas to our readers. Besides writing futures articles for Steel […]
A new American Steel Index report by Business Forward shows U.S. steel prices have risen 7.4 percent since February, while foreign steel prices have fallen 9.8 percent. As a result, American manufacturers are paying 17.2 percent more for hot- and cold-rolled steel than their foreign competitors. “President Trump’s tariffs on steel and aluminum are increasing […]
By CRU Senior Analyst Helen O’Cleary The global transition towards sustainable energy sources is set to accelerate over the coming decades as some of the world’s largest consumers of energy look to reduce carbon emissions, with the USA and EU targeting net zero emissions by 2050 and China by 2060. In this Insight, we bring […]
Tenaris, a global manufacturer and distributor of energy tubular products, has begun the second phase of its service center expansion in Midland, Texas. The project will add pipe and tube storage and service capabilities for customers in the Permian basin and other key shale plays across the U.S. Phase 2 consists of several stages of […]
JSW Ohio tried to run their EAF and caster today, but found they needed a couple of small fixes. The goal is now to melt their first heat and cast their first slab tomorrow (Friday). We continue to watch this closely as there will be an impact on the market once the mill has been […]
Steel Market Update is pleased to include the following Premium content in this Executive issue. For more information about upgrading to a Premium-level subscription, email info@SteelMarketUpdate.com. Economic indicators of U.S. manufacturing activity are strong, though growth is slowing. This report summarizes 11 data streams that describe the state of U.S. manufacturing in general and the […]
Most Federal Reserve districts saw their economies expand at a modest to moderate pace in October and November, but tariffs remain a common concern among manufacturers, who report widespread escalation in the cost of inputs, such as steel. So far, selling prices have risen with less intensity than input costs, they say, suggesting that price […]
The U.S. economy is on track to grow further next year, say purchasing executives surveyed by the Institute for Supply Management, continuing the trend that began in mid-2009. In its December 2018 Semiannual Economic Forecast, ISM reported that the manufacturing sector is optimistic about business conditions in 2019, with revenues expected to increase in 17 […]
A couple of comments regarding possible price increase announcements as we go into first-quarter 2019 made today as I canvassed the flat rolled and plate steel markets pricing. “Mills appear to be much more sanguine on prices than I’ve seen in a while. I’m hearing them say that once all of the mills are done […]
Flat rolled steel service centers who responded to last week’s SMU flat rolled and plate steel market trends questionnaire are reporting in increasing numbers their service center as lowering spot prices to their customers. One month ago (early November) only 32 percent of the flat rolled distributors were reporting lower spot pricing to their customers. […]
The year 2019 is shaping up to be a special year for Steel Market Update and our customers. Steel Market Update is much more than a source of market intelligence and a supplier of spot pricing for the flat rolled and plate steel markets. Over the years, SMU has developed a number of highly successful […]
The year 2019 is shaping up to be a special year for Steel Market Update and our customers. Steel Market Update is much more than a source of market intelligence and a supplier of spot pricing for the flat rolled and plate steel markets. Over the years, SMU has developed a number of highly successful […]
Calling it “a good day for the little guys” after a frustrating eight-month wait, Priefert Manufacturing Co. reports the Commerce Department has finally granted the company a one-year exclusion on a 10-gauge, 80-inch hot rolled product that is not made in the United States. Based in Mount Pleasant, Texas, Priefert is a service center and […]
GFG Alliance’s purchase of Keystone Consolidated Industries this week was the latest move by British industrialist Sanjeev Gupta to become a leading producer of both long and flat steel products in the United States. GFG Alliance has been buying up steel, aluminum and energy assets around the world. On Monday, its Liberty Steel USA division […]
By the CRU Group Economics Team The meeting between Chinese President Xi Jinping and President Trump on Dec. 1 turned out to be better than expected. According to the White House press release and Chinese official reports, tariffs will not rise from their current levels over the next 90 days. Both sides agreed to enter immediate […]
Demand remains strong in the manufacturing sector, according to the latest Manufacturing ISM Report on Business. The PMI, from the Institute for Supply Management, increased 1.6 percentage points to 59.3 in November. A PMI reading above 50 indicates expansion. New orders rose 4.7 points to 61.1, well above the 52.4 percent value that indicates growth. […]
Global manufacturing remained stalled in November. The J.P. Morgan Global Manufacturing PMI stayed at 52.0, unchanged from the 23-month low posted in October. Growth in new orders and production was subdued with the greatest expansion noted in the consumer sector. Improved business conditions were seen in the U.S, Eurozone, Japan, China, the UK, Brazil and […]
On Sunday, the HARDI galvanized steel council met to discuss what has been happening in the industry that is impacting their relationship with their steel suppliers. John Packard, President & CEO of Steel Market Update, along with Josh Spoores, Senior Analyst for CRU, discussed the status of steel prices and the forecast for 2019. The […]
Some government and industry leaders praised the new U.S.-Mexico-Canada Agreement that was signed by the three nations on Friday, while others remained critical of the trade pact, suggesting it was a missed opportunity to remove the Section 232 tariffs on Canada and Mexico. Incoming Speaker of the House Nancy Pelosi called the agreement a “work […]
Canada’s Algoma Steel Inc. has finally fully emerged from Companies’ Creditors Arrangement Act (CCAA) protection after three long years. The company announced on Friday that it had successfully acquired all the remaining assets of Essar Steel Algoma and is ready to tackle the market as a financially stable entity. “When we take a look around […]
It has been a beautiful weekend in Austin, Texas, where I spoke earlier today (Sunday) at the annual HARDI conference. I spoke at the steel council, which consists of HVAC wholesalers who sell galvanized sheet/coil products, manufacturers supplying the wholesalers and a couple of service centers who sell galvanized sheet and coil to the wholesalers. […]
Returns from Steel Market Update’s market trends questionnaire show a growing percentage of manufacturing companies reporting service center spot pricing on flat rolled products as being lower than what they saw at the beginning of November. Seventy-three percent of the manufacturing respondents reported seeing slipping spot prices this past week. This is an increase of […]
For almost eight years, Steel Market Update has been working in conjunction with the U.S. and Canadian steel mills on a basic steel training workshop for those involved in the flat rolled, plate and long product steel industries. We have trained in excess of 600 individuals ranging from people on their first day on the […]
For almost eight years, Steel Market Update has been working in conjunction with the U.S. and Canadian steel mills on a basic steel training workshop for those involved in the flat rolled, plate and long product steel industries. We have trained in excess of 600 individuals ranging from people on their first day on the […]
General Motors announced Thursday that it will stop production at five North American assembly plants by the end of 2019, alarming workers and suppliers. The closings include Detroit-Hamtramck, Warren Transmission and Lordstown Assembly in Ohio, Oshawa Assembly in Ontario and Baltimore Operations in Maryland. It will be the first closure for GM since 2010. The […]
Metalforming firms are expecting a decline in business conditions and new orders during the next three months, according to the November 2018 Precision Metalforming Association (PMA) Business Conditions Report. The PMA is a monthly economic indicator for manufacturing, sampling 122 metalforming companies in the United States and Canada. Current average shipping levels were steady in […]