We include here an unabridged statement from the IMF that was released on Tuesday this week which forecasts economic growth for all regions and nations through 2021. The IMF reduced its forecast for economic growth in the US in 2016 from 2.4 percent in the April forecast to 1.68 percent and in 2017 from 2.5 […]
A welder at US Steel Gary Works died on Friday while working in the U.S. Steel Slab Storage Yard. Details about the fatality are still unclear and the incident is under investigation. US Steel issued the following statement: “On the evening of Friday, September 30, there was an incident at U. S. Steel’s Gary Works […]
In light of the recent circumvention complaint against China/Vietnam we thought our readers would be interested in learning what countries have been in the top ten exporters of galvanized steel to the United States beginning in 2008 through July 2016. Canada has consistently been a major supplier of galvanized to the U.S. market. SMU thinks […]
Worthington Industries delivered record earnings in the first quarter of FY 2017 (ending August 31, 2016). Net sales totaled $737.5 million for net earnings of $65.6 million. Gross margin increased $34.3 million year-over-year to $147.3 million primarily due to inventory holding gains of $17 million in Steel Processing which were partly offset by lower volume […]
Steel Market Update spoke with two sources regarding the most recent complaint filed by the domestic mills against Vietnam and China for circumvention of duties (China) on cold rolled and CORE (corrosion resistant steels such as galvanized and Galvalume) products. One of the tenants behind the accusations made by the domestic steel mills is the […]
On Thursday, September 22, 2016 four steel mills: ArcelorMittal USA, Nucor, AK Steel and US Steel submitted petitions asking the US Department of Commerce to review imports of cold rolled and corrosion resistant steels (galvanized and Galvalume) arriving in the United States from Vietnam as actually being a way for China to circumvent antidumping and […]
We received the following comments from a member of the financial investment community regarding the suits just filed by the domestic mills alleging the transformation of hot rolled to cold rolled or coated from China in Vietnam was just a way for China to circumvent U.S. trade duties. The complaint states that the transformation of […]
We might as well get the debate started. The circumvention complaints against Vietnam have prompted comments and a healthy discussion is needed as the industry tries to wrap its collective mind around the facts of the latest request of the US Department of Commerce to stop Vietnamese exports of cold rolled and coated steels. We […]
US Steel Canada has moved closer to a resolution of creditor protection proceedings and a sale of the company. The government of Ontario and Bedrock Industries announced they have signed a Memorandum of Understanding to facilitate the restructuring of US Steel Canada. The MOU terms are confidential but Ontario says it has agreed to support […]
Steel service centers in the United States shipped a total of 3,378,700 tons of steel (all products) during the month of August, according to data just released by the Metal Service Center Institute (MSCI). The daily shipment rate improved by 1,000 tons per day during August compared to July as the distributors shipped 146,900 tons […]
Retirees of US Steel Canada are appealing the decision by the Ontario Superior Court to uphold the suspension of benefits to former workers at Hamilton and Lake Erie Works. A new report by the Monitor assigned to the CCAA proceedings shows US Steel Canada has more cash available than projected–$160 million at the end of […]
The uncertainty in the market (called the “blahs” by a number of our steel sources) is affecting both buyers and sellers of steel. Steel mills have been doing all that they can in an attempt to keep flat rolled steel prices from slipping too far. One of our mill sources had a sense of humor […]
US Steel President and CEO Mario Longhi said he is encouraged by the affirmative determinations in the recent AD/CVD investigations of hot-rolled, cold-rolled and corrosion resistant steels. Said Longhi in a statement released following the ITC determination on hot-rolled steel: “It is clear that the International Trade Commission recognized the significance of this case to […]
Much has been made about the number of shutdowns there will be at various steel mills due to planned maintenance outages. Steel Market Update has been working with a number of our buyer sources to come up with a tentative schedule of the various projects due in the 4th Quarter 2016. This is our “best […]
Pensioners at US Steel Canada lost another court battle to put their pension claims ahead of US Steel’s debt claims. A ruling by the Ontario Court of Appeals on Friday, upheld a decision made by Justice Herman Wilton-Siegel in March. Pensioners, provincial government, and former Stelco president Bob Milbourne claimed that US Steel, the largest […]
According to the latest data released from the U.S. Department of Commerce and the American Iron and Steel Institute, apparent steel supply for the month of July 2016 was 9,095,385 net tons. Apparent steel supply is calculated by adding domestic steel shipments and finished US steel imports, then subtracting total US steel exports. July apparent […]
US Steel presented its arguments to the US International Trade Commission on why its Section 337 price fixing claim should not be terminated. Counsel for US Steel told Administrative Law Judge Dee Lord that the Respondents from China have presented a “flawed misapplication of law governing pricing fixing and Section 337 investigations.” “Accepting Respondents’ erroneous […]
The United Steelworkers have filed a grievance regarding recent layoffs and demotions at US Steel Gary Works. USW District 7 Director Mike Millsap says the labor contract with US Steel does not permit layoffs and demotions without prior negotiation with union officials. So far the union estimates 75 maintenance workers have been laid off from […]
A final decision on the section 337 case brought against China by US Steel has been delayed until March 2, 2018 from the current target date of Oct. 2, 2017. Separate hearings have been scheduled for the allegations of theft of trade secrets and for the allegations of transshipment and price fixing. The trade secret […]
Essar Steel Algoma generated positive earnings in May and June, due to higher steel pricing, resulting in net revenue of C$136 million in June and total net revenue of C$753 million for the first half of 2016. EBITDA before restructuring costs was negative C$49 million for the first six months of 2016. For the reporting […]
Benefits will not be reinstated to US Steel Canada retirees ruled Justice Herman Wilton-Siegel in Superior Court on Friday. US Steel Canada has been given permission, however, to utilize $1.57 million in cash to pay retention bonuses to key employees. The judge also directed USSC to follow through on $2.7 million of funding to the […]
A Superior Court decision is expected Friday on whether US Steel Canada will be forced to restore benefits to retirees. Benefits were stopped in October after US Steel Canada petitioned the court saying it needed to reduce costs to stay in operation. Health benefits for retirees, payments to top-up pension plans and property taxes were […]
Union workers are objecting to the layoff of 38 workers at US Steel Gary Works on Friday. USW District 7 director Mike Millsap said the workers were laid off after consulting firm McKinsey & Co determined there were too many maintenance workers at the plant. “Under the contract, they can only lay off workers under […]
A wolf in sheep’s clothing is still a wolf. Essar Global clothed in the nomenclature of Ontario Steel Investments works is still Essar Global according to US Steel Canada. The bid by Ontario Steel Investments (Ontario Steelworks), announced on Tuesday, was rejected by US Steel Canada on Wednesday. US Steel Canada said it had already […]
According to the latest data released from the U.S. Department of Commerce and the American Iron and Steel Institute, apparent steel supply for the month of June 2016 was 9,098,316 net tons. Apparent steel supply is calculated by adding domestic steel shipments and finished US steel imports, then subtracting total US steel exports. June apparent […]
Ontario Steel Investments Limited (Ontario Steelworks) said on Tuesday that it has submitted a bid to buy US Steel Canada. The August 5th offer includes the assumption of the US Steel Canada pension plan, currently estimated at C$954 million ($724 million) and a commitment to provide C$25 million per year for post-employment benefits for current […]
Korean steel producer POSCO said it will take action against antidumping and countervailing duties imposed by the U.S. Department of Commerce last week on exports of hot-rolled steel. Countervailing duties of 57.04 percent were levied against POSCO while competitor Hyundai Steel, and all other Korean producers, received duties of 3.89 percent. A POSCO official called […]
I did trade emails with trade attorney Lewis Leibowitz regarding the International Trade Commission (ITC) commissioners. I wanted to know if the new president of the United States could make wholesale changes with the commissioners and change the balance of the rulings being made on steel trade cases and others. Mr. Leibowitz told us, “The […]
There were some surprises on Friday afternoon when the U.S. Department of Commerce came out with their final determinations regarding antidumping and countervailing duties on hot rolled steel. Perhaps the biggest surprise was saved for POSCO out of Korea and the joint venture partner with US Steel on USS/POSCO mill in California. The UPI mill […]
On Friday the U.S. Department of Commerce announced their final determination findings on hot rolled steel dumping margins and countervailing subsidy rates for Brazil, South Korea, Australia, Turkey, Japan, United Kingdom and the Netherlands. In the article above we reproduced the press release provided by the Commerce Department. In this article we are going to […]