The Georgia International Convention Center (www.gicc.com) as well as the three Gateway Hotels (Marriott, Renaissance and SpringHill Suites) are all conveniently located at the first stop of the free SkyTrain out of the Atlanta International Airport (ATL). The second stop on the SkyTrain is for car rentals. Our overflow hotel – the Atlanta Airport Marriott […]
2019 SMU Steel Summit Conference – A Sneak Peek – Day 1 Written by: John Packard, President & CEO, Steel Market Update RE: 2019 SMU Steel Summit Conference, August 26-28, 2019 – Location: Georgia International Convention Center, Atlanta, GA The Georgia International Convention Center (www.gicc.com) as well as the three Gateway Hotels (Marriott, Renaissance and […]
I am in Washington, D.C., attending the joint SMA/AISI annual meeting. I had the unique opportunity to sit down with Phil Bell, President of the Steel Manufacturers Association, and the SMA board to discuss my viewpoints regarding various issues affecting the electric arc furnace manufacturers. The SMA got to see a few of the proprietary […]
I am flying back to Florida after completing my second speaking engagement this week. I think I’ve logged 10,000 miles over the past few weeks flying to Atlanta (twice), Chicago, Iowa, Minnesota after having previously flown to Monterrey, Mexico, and Los Angeles. I am looking forward to not going anywhere for a week (I am […]
Like everyone else in the steel industry, members of the Heating, Air-conditioning and Refrigeration Distributors International (HARDI) are wondering what will happen to supply and prices now that the Trump administration has lifted the Section 232 tariffs on steel imports from Canada and Mexico and cut in half the tariffs on steel imports from Turkey. […]
President Trump has announced that he intends to increase the Section 301 tariffs on Chinese finished goods to the full 25 percent by the end of this week (current rate on first batch is 10 percent). He also intends to increase the number of products to be hit. His statement was the Chinese were dragging […]
First, please be aware that Sunday is Easter and Steel Market Update will not publish an issue on Sunday evening. Our next issue will be on Tuesday, April 23. We have been receiving calls and getting comments associated with our release of the SMU Service Center Inventories Analysis in Sunday evening’s issue where we showed […]
Flat rolled steel inventories at the service centers rose at the end of March, according to the data providers working with Steel Market Update. SMU has been collecting service center data for almost two years now. Six months back, with the help of the CRU team, we changed the way we were collecting and the […]
It took a couple of years, dozens of trade suits, a Section 301 investigation, Changes to the Country of Origin, the Section 232 tariffs and finally a pull-back in domestic pricing to dramatically reduce the amount of foreign steel tonnage coming into the U.S. market. This reduction will not be short-lived. It will continue for […]
A comment from a steel buyer today as we discussed steel prices, “That’s what I like about the steel business, there is always a new dynamic.” Put another way by one of my trading mentors a number of years back, in the steel industry prices are either going up or they are going down, there […]
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 […]
As part of our process of strengthening Steel Market Update’s services, we have made some improvements and enhancements. After reviewing our subscription models, and receiving feedback from our valued customers, we have streamlined our membership options. We believe these changes will be beneficial for our members and allow for greater access to the service. The […]
I will be traveling all week as I head to Monterrey, Mexico, to tour the Ternium training facilities and steel mill. I will also be meeting with Cesar Jimenez, the CEO for Ternium Mexico, to discuss the new capacity they have coming onstream over the next 12-24 months. We are also working with Ternium to […]
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 […]
As part of our process of strengthening Steel Market Update’s services, we have made some improvements and enhancements. After reviewing our subscription models, and receiving feedback from our valued customers, we have streamlined our membership options. We believe these changes will be beneficial for our members and allow for greater access to the service. The […]
The Bureau of Industry and Security today denied the exclusion exemptions for two mills: California Steel Industries and Evraz. At this point, we are expecting the NLMK USA and JSW USA exclusion requests to be denied as well. However, a trade attorney (not Lewis) suggested that we not move too fast with any proclamations. There […]
The domestic steel mills have been able to put a floor on flat rolled steel prices since Nucor announced their $40 per ton price increase on Jan. 28, 2019. Now that they have a firm floor, the mills are slowly moving prices higher. In the process, they are very slowly shifting momentum. Steel Market Update […]
The U.S. Department of Commerce released new license data through the 19th of February and the trend for imports is at 2.6 million net tons (+/- 200,000 tons). Semi-finished steels continue to be the largest single product imported, with most being slabs heading to mills like California Steel, NLMK USA, JSW USA and ArcelorMittal Mobile. […]
The plate markets have been acting quite differently than the hot rolled markets for some time. As hot rolled prices have eroded, plate prices have stabilized, with discrete plate trading around $1,000 per ton, delivered to the mill’s customer. We are seeing the dynamics of the plate markets changing, and SMU wants to be careful […]
I mentioned this in my pricing article earlier in this newsletter, but I think it bears repeating. When I was with Winner Steel (now called NLMK Sharon Coatings) we brought up two new coating lines. As each line came onstream it was imperative to get orders, so the line would run. One way to get […]
Welcome to 2019! As we begin the New Year, I want to welcome everyone back to their offices or plants. I am looking forward to another interesting year as we continue to deal with the effects of Steel 232, anti-dumping and countervailing duties, threats of Section 232 for automotive and Section 301 on finished goods […]
So, we have our service center inventories at 2.5 months of supply, down slightly from the 2.6 months we got from our distributor data suppliers the previous month. This is not from our survey; we decided to put that data aside as it was suspect – it had both buyers and sellers contributing to the […]
We are quickly sliding toward the Christmas Holiday and the New Year. I guess this means I will need to do some shopping (and shipping) over the next 24 hours or lose my good standing as a father… Over the next couple of publications, we will write about this year through the rear-view mirror. 2018 […]
JSW Ohio (former Mingo Junction mill) has been struggling to get their existing electric arc furnace (EAF) up and running. It was supposed to have fired up last week, but we were told there is an issue with the oxygen, and the new ETA first heat date is Monday or Tuesday of this week. I […]
It has been a busy week for Steel Market Update. I spoke at the HARDI annual conference in Austin, Texas, on Sunday and I was in Atlanta on Tuesday evening and Wednesday working with our web developers. I am in the office on Friday. Next week I will be in Toledo, Ohio, on Monday through […]
I took our coated numbers down pretty hard this week. I had been collecting lower numbers over the past few weeks. However, they would pop up sporadically. Come and go for no reason other than a mill decided that the order was too good to pass up, that it fit a hole or that at […]
We had a great webinar on Wednesday, despite some technical glitches. I am looking forward to making webinars a standard practice for Steel Market Update. We do not yet have a date/subject set up for the next webinar. I am traveling this weekend and early next week. I will be speaking on Sunday morning in […]
The laws of unintended consequences concern me. President Trump’s Section 232 steel and aluminum tariffs, as well as Section 301 tariffs, are only beginning to have an impact on the consumer. It is only a matter of time before consumers have to react as they do not have unlimited cash flow to pay higher prices […]
This segment of the Steel Market Update newsletter is the area where I get to provide information about Steel Market Update, my views and opinions on various subjects and notifications/reminders about events or other items I think important for our readers. I rarely dive into politics or political issues as I know the SMU membership […]
The following article was contributed by CRU North America Steel Analyst Ryan McKinley The trade dispute between the United States and Canada has caused inventories to build and put downward pressure on prices. The 25 percent duties on steel imports in place by Canada and the U.S. against one another is eroding profits and driving […]