SMU Data and Models
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/media/k2/items/src/06be4f4a954064a8e765541ca3d68d34.jpg)
Steel Mills Barely Break a Sweat During Price Negotiations
Written by John Packard
June 19, 2016
The domestic steel mills are barely breaking a sweat as they have minimal need to negotiate flat rolled steel prices according to those taking our mid-June flat rolled steel market trends survey.
Last week we invited hundreds of companies associated with the steel industry to provide their opinions on the flat rolled steel market. Over the past couple of months our survey respondents have been telling us that there is little negotiating going on regarding hot rolled, cold rolled, galvanized or Galvalume steels.
We did note small changes in the pattern associated with hot rolled, cold rolled and galvanized. The changes are not large enough to suggest any but a blip in the data but, it is worth watching these numbers in future surveys.
Those reporting the steel mills as willing to negotiate hot rolled prices grew from 7 percent at the beginning of the month to 14 percent this past week. Cold rolled went from zero percent to 5 percent, galvanized from 5 percent to 15 percent while Galvalume remained at zero percent.
We remind our readers these results are based on responses to our survey. Each individual mill may have different approaches to negotiations and steel markets can be quite volatile and change quickly. It is important to stay close to your suppliers to make sure you are being kept up to date as to what they are doing and how your company fits into their plans.
A side note: The data for both lead times and negotiations comes from only service center and manufacturer respondents. We do not include commentary from the steel mills, trading companies, or toll processors in this particular group of questions.
To see an interactive history of our Steel Mill Negotiations data, visit our website here.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/04/john-packard.png)
John Packard
Read more from John PackardLatest in SMU Data and Models
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/Premium1.png)
Steelmaking raw material prices ease in July
The majority of steelmaking raw material prices declined in June, following the same trend seen in May, according to SMU’s latest analysis.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2024/01/cropped-SMU_Mobile_final.png)
SMU price ranges: HR declines moderate. Are we near a bottom?
SMU’s sheet price ranges slid again this week. But the declines were more pronounced on tandem products whereas prices for hot-rolled coil held roughly steady.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/Premium1.png)
Some SMU Key Market Indicators improve, others remain near historic lows
SMU’s Key Market Indicators include data on the economy, raw materials, manufacturing, construction, and steel sheet and long products. They offer a snapshot of current sentiment and the near-term expected trajectory of the economy. All told, nine key indicators point lower, 16 are neutral, and 13 point higher. One thing worth noting: The nine indicators pointing lower are all lagging indicators. Many of those pointing upward are leading indicators.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2024/01/cropped-SMU_Mobile_final.png)
SMU survey: Steel Buyers’ Sentiment Indices rebound
SMU’s Steel Buyers’ Sentiment Indices both saw improvement this week. Current sentiment ticked higher but remains near the four-year low seen earlier this month. Future Sentiment continues to indicate that buyers are optimistic for future business conditions.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/Premium1.png)
SMU market survey results now available
The latest SMU market survey results are now available on our website to all premium members. After logging in at steelmarketupdate.com, visit the pricing and analysis tab and look under the “survey results” section for “latest survey results.” Historical survey results are also available under that selection. If you need help accessing the survey results, or if your […]