New orders, production and employment picked up in May despite slower supplier deliveries and lengthening backlogs, said the Institute for Supply Management in the May 2021 Manufacturing ISM Report on Business. The Manufacturing PMI rose 0.5 percentage point to 61.2 after contracting in April and indicates expansion for the overall economy. “Manufacturing performed well for the […]
The manufacturing sector can expect continued growth for the remainder of this year, says the Institute for Supply Management in their Spring 2021 Semiannual Economic Forecast. ISM raised its projections for several components of the survey that covers 18 manufacturing industries. “Expectations for the remainder for 2021 have strengthened somewhat compared to December 2020, as […]
Record-high steel prices result not from Section 232 tariffs or industry consolidation but instead from uniquely strong supply-demand fundamentals, Cleveland-Cliffs’ top executive said. And an ambitious infrastructure package would go a long way toward keeping those fundamentals, and the resulting investment in the domestic steel industry, stronger for longer, he suggested. “We in this country […]
Record-high steel prices result not from Section 232 tariffs or industry consolidation but instead from uniquely strong supply-demand fundamentals, Cleveland-Cliffs’ top executive said. And an ambitious infrastructure package would go a long way toward keeping those fundamentals, and the resulting investment in the domestic steel industry, stronger for longer, he suggested. “We in this country […]
By CRU Chief Economist Jumana Saleheen and CRU Head of Fertilizers Chris Lawson, from CRU’s Steel Monitor Commodity prices have continued an upwards tear in 2021. Steel and its raw materials have seen the sharpest gains, but less well-known commodities such as fertilizers are also attracting attention. With such steep price rises, calls for a […]
Allegheny Technologies Inc. posted a net loss of $7.9 million in the first quarter, with a slight recovery in jet engine production. First-quarter 2021 results are a vast improvement from the adjusted net loss of $41.9 million in the prior quarter, but a far cry from the pre-pandemic net income of $21.1 million in Q1 […]
Russian steelmaker NLMK said sales in its U.S. division increased 16% in Q1 2021 to 430 million metric tons. The increase was driven by hot-rolled and galvanized steel. Sales of hot rolled increased 17% from the fourth quarter of 2020 and galvanized steel sales soared 37%. Sales of cold rolled fell 13%. On a year-over-year […]
Steel prices might be at record levels, but the Organization for Economic Cooperation and Development’s Steel Committee remains worried about global overcapacity. “While steel prices declined in 2020, they have recently increased as steelmaking capacity idled during the heights of the pandemic could not be brought online quickly enough to meet recovering steel demand and […]
Rising costs and supply-chain disruptions remained headwinds for manufacturers across the globe in March. Despite the challenges, the J.P. Morgan Global Manufacturing PMI reached a 10-year high of 55.0. Manufacturing output expanded at the strongest rate in a decade as demand strengthened domestically and in international trade. Growth was reported in 23 of 27 nations […]
Steel Dynamics Inc. forecast higher first- and second-quarter results, fueled by strong shipments and record steel prices, according to guidance issued Wednesday. “First-quarter 2021 profitability from the company’s steel operations is expected to be significantly higher than sequential fourth-quarter results, driven by flat roll metal spread expansion, as strong demand continues to support flat roll steel prices,” […]
Hyundai Steel has halted output on some production lines and will be approximately 1.5 months late with some shipments because of a “guerrilla strike,” according to a letter to U.S. customers. “Since the strike is still ongoing and the effect of the production suspension(s) are yet to be calculated, we cannot designate the accurate quantity […]
Good news on the global manufacturing front—the J.P. Morgan Global Manufacturing PMI hit a three-year high of 53.6 in February, indicating a faster rate of growth despite supply-chain disruptions and inflationary pressures. Manufacturing expansion was evident in 23 of 29 of the nations surveyed, with the fastest improvement in Germany. Only Greece, Kazakhstan, Malaysia, Thailand, […]
The Chicago Business Barometer slipped 4.3 points to 59.5 in February, though still above a reading of 50 that indicates expansion, following a 2.5-year high in January. New orders plunged 11 points to their lowest level since August 2020. Production fell 9.3 points after two months of gains. Business activity at firms in the Chicago […]
Supply chain disruptions and material shortages slowed global manufacturing expansion in January. The J.P. Morgan Global Manufacturing PMI slipped to 53.5 last month from 43.8 in December and to a three-month low. Overall, however, the manufacturing sector remained robust with most nations reporting expansion in the sector. Production and new orders rose in January, but new […]
The housing construction market continued its strength in December with starts vaulting 5.8 percent from November to a seasonally adjusted annual rate of 1,669,000. Single-family housing starts soared 12 percent, but starts of multifamily housing of five units or more plummeted 15.2 percent. Building permits, an indicator of future construction, rose 4.5 percent last month […]
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 […]
Despite market challenges related to COVID-19, Commercial Metals Company reported earnings of $63.9 million on net sales of $1.4 billion for the first quarter of FY 2021. CMC is encouraged by stabilizing backlogs and a renewed enthusiasm by clients to move forward with projects. “Market uncertainty continues to persist,” said Chairman, President and CEO Barbara […]
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 […]
The U.S. manufacturing sector expanded again in December, gaining 3.2 points to register a PMI of 60.7 percent in the December 2020 Manufacturing ISM Report on Business. “The manufacturing economy continued its recovery in December,” said Timothy Fiore, chairman of the Institute for Supply Management Manufacturing Business Survey Committee. “Survey Committee members reported that their […]
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 […]
Global manufacturing continued its road to recovery in September. The J.P. Morgan Global Manufacturing PMI rose to a 25-month high of 52.3 from 51.8 in August, for a third consecutive month of expansion. All of the index components were solidly above the 50 neutral point except for employment, which posted a PMI of 49.5. A […]
From the CRU weekly Steel Monitor: Most Chinese product prices were either unchanged or marginally lower this week, except for HR coil, that has fallen RMB220 /t ($32 /t) over three weeks. Although this keeps Chinese prices at a relatively high level, it has created caution and may now indicate a limit to how far rallies in […]
“More than 18 years after it acceded to the WTO, China continues to fail to comply with its WTO obligations,” stated the America Iron and Steel Institute in comments to the U.S. Trade Representative regarding China’s compliance with World Trade Organization rules. In a 44-page letter to the USTR, AISI claims there is overwhelming evidence […]
SSAB Americas’ third-quarter results were impacted by lower prices and volumes, which were somewhat offset by cost savings and lower raw material prices. SSAB Americas posted an operating loss of SEK 10 million ($1.13 million) versus a profit of SEK 106 million ($12 million) in the first quarter. Sales totaled $3.2 billion SEK ($361 million) […]
The U.S. dollar weakened against 14 of the 16 steel and raw materials trading nation currencies in the last 90 days, which follows the same decline that we reported July 14. The biggest changes were in the value of the Australian dollar, which was up by 11.4 percent, following a 9.3 percent appreciation in our […]
By CRU Analysts Irina Melkonyan and Iris Speelmanns, from CRU’s Steel Sheet Products Market Outlook Russia is among the biggest steel exporters in the world, delivering to a wide range of destinations. However, steel demand in all regions diminished as the world was hit by Covid-19 and most steel producers globally have struggled. Unlike steelmakers […]
By CRU Prices Analyst George Pearson, from CRU’s Steel Monitor Sheet prices in the U.S. Midwest market have fallen from their early June peak as end-user demand, although higher than April and May, remains historically low. Over the near term, sheet prices will fall further as demand is limited by weak underlying economic activity and […]
By CRU Senior Analysts Ryan Smith and Andrew Gadd, from CRU’s Steelmaking Raw Materials Monitor Oil markets have had a torrid 2020, with the combination of demand losses due to Covid-19 and the breakdown of coordination between major producing countries resulting in plummeting prices. In this Insight, we assess how this oil price shock influences […]
By CRU Prices Analyst George Pearson, from CRU’s Steel Monitor Steel sheet prices in the U.S. Midwest market were mixed this week with slight declines for both HR and HDG coil, while CR coil was slightly higher. Market contacts have noted that markets are weakening as demand has not come about as previously expected. Lead […]
By CRU Analysts Ryan Smith, Andrew Gadd and Ben Carstein Oil markets have had a torrid 2020, with the combination of demand losses due to Covid-19 and the breakdown of coordination between major producing countries resulting in plummeting prices. In this Insight, we assess how the oil price shock influences steelmaking costs through both raw […]