Final Thoughts

I have heard that a number of traders are continuing to take orders from some of the affected countries feeling very strongly that those countries will be cleared of the dumping of countervailing duty allegations.

I have suggested that our readers watch the ATI contract negotiations (and now lockout) very carefully. Do not be surprised if at least one mill (and the rumor mill is it will be US Steel) could potentially lockout their workers if they are not willing to give on some of the line items that the mills have requested.

Earlier today I spoke with the owner of a service center about labor negotiations and how difficult negotiations can be. “When somebody has something it is very hard to take it away,” is what he told me. The unions are in a tough spot. It will be very hard for them to give in easily to the mill demands without at least putting up a fight.

I also have to go back to the owner of a manufacturing company who told me a few days ago, “People don’t strike anymore unless someone draws a line in the sand and forces the issue.”

USS fought the unions in Canada and won (although you might say ultimately they lost as the mills are in bankruptcy and for sale). Will they go toe to toe with the USW this year?

We are in for a very interesting remainder of the summer and through the balance of the year. Expect the unexpected.

For those attending our Steel Summit Conference in Atlanta we are very close to actually selling out the space that we have for the conference. For those who were there last year and can remember the rooms we have added one third more space and it will all be full this year. This is not to say that we can’t squeeze in one or two more people should they want to come… Details are on our website here.

We have added base metals forecasting to this year’s conference. With zinc trading at the lowest levels seen since 2012 Lisa Reisman’s of Metal Miner forecast couldn’t come at a better time.

For those of you interested in our Steel 101: Introduction to Steel Making & Market Fundamentals workshop – our next one is October 6-7 which is a great time to be in the lovely state of Iowa. We will tour the SSAB facility located just outside of Davenport, IA where our workshop will be centered. Please contact me if you have any questions. We offer SMU member discounts and more than one person attending discounts. You can reach me at 800-432-3475 or John@SteelMarketUpdate.com

As always your business is truly appreciated by all of us here at Steel Market Update.

John Packard, Publisher