Steel Exports Sag in June

Falls Church, VA, August 7 – Steel exports declined in June compared to May by 8.5 percent according to government data. “Exports declined in every major steel export market in June, with over 86 thousand tons of the decline of over 98 thousand ton total represented by lower exports to NAFTA and other Western Hemisphere markets. The declines reflect weakened conditions in these markets — especially in NAFTA at the time orders were taken. Exports to other smaller export markets likewise declined in June,” said Phelps, president, AIIS.

For the first half of 2013 compared to 2012, steel exports declined by 10.9 percent, including a 9.1 percent decline in June 2013 compared to June 2012. “The reduction in exports for the first half of 2013 shows the weakened conditions in many steel markets, as all markets posted declines for the first half. With stronger market conditions at this time in the NAFTA region, NAFTA exports could show some improvement in coming months provided that the current conditions show some “staying power,” concluded Phelps. 

Total Steel exports in June 2013 were 1.064 million tons compared to 1.163 million tons in May 2013, an 8.5 percent decrease, and a 9.1 percent decrease compared to June 2012. According to year-to-date figures, exports decreased 10.9% compared to 2012 or from 7.277 million tons in 2012 to 6.482 million tons in 2013. (Source: American Institute for International Steel)

Flat Rolled Exports – SMU Analysis

June hot rolled exports were at their highest level this year at 113,412 tons. The largest percentage went to Canada with 69,237 tons moving north out of the USA.  More than likely a good portion of the hot rolled shipped to Canada was sent by U.S. Steel to their sister facility in Hamilton. This is due to Lake Erie Works being locked out and cannot feed the Hamilton facility. Combined, Canada and Mexico accounted for 112,382 tons of the 113,412 tons shipped.

Cold rolled exports totaled 60,015 tons down just slightly from the 63,461 tons shipped in the prior month.  Canada and Mexico accounted for 48,178 tons of the total shipments.  In June 2012 the U.S. shipped 71,007 tons of cold rolled outside of the country.

June galvanized (hot dipped) exports totaled 101,514 net tons down from 128,394 net tons exported in May 2013. June 2012 galvanized exports totaled 111,937 tons. Canada and Mexico received 100,139 tons of the 101,514 tons shipped.

Other Metallic exports, which include both Aluminized and Galvalume, totaled 26,269 tons.  This tonnage is in line with shipments made over the past four months. Mexico was the largest recipient of U.S. made Galvalume and Aluminized with 12,055 tons.  Combined Canada and Mexico took 22,522 tons of the 26,269 tons shipped.