Steel Markets
Harvey Hits Auto Sales in August
Written by Sandy Williams
September 7, 2017
U.S. automakers sold 1.48 million vehicles in August, a 1.9 percent drop from a year ago. A portion of that decline was the loss of an estimated 20,000 sales from the Houston area during the last week of August.
Houston is the ninth-largest vehicle market in the U.S., and sales are expected to rebound as consumers replace autos damaged in Hurricane Harvey. Kelly Blue Book estimates as many as 300,000 to 400,000 vehicles will need to be replaced. Some dealerships in the Houston area escaped damage, while others report total loss of inventory.
The seasonally adjusted annual rate was estimated at 16 million units by WardsAuto, significantly below the 16.5 million SAAR forecast. The storm impact is likely to keep the industry from reaching the 17 million mark that it surpassed in 2015 and 2016.
Of the Detroit Three automakers, only General Motors’ sales grew year-over-year, up 7.5 percent. Toyota turned in its third consecutive gain in August.
Car sales slipped 13.1 percent from August 2016, while truck sales dipped 1.1 percent for the first decline since last November.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
Steel market participants mull the impact of US/Mexico S232 negotiations
Steel market participants learned that negotiations between the US and Mexico include discussions about Section 232 tariffs on steel and aluminum despite President Trump’s June 3 proclamation increasing the tariffs from 25% to 50% for all steel and aluminum imports—except for those from the UK.
ArcelorMittal plans wire-drawing closure in Hamilton, shifts production to Montreal
ArcelorMittal’s (AM) Hamilton location to be shuttered, wire production shifting to Montreal.
Tariffs, ample domestic supply cause importers to shift or cancel HR import orders
Subdued demand is causing importers to cancel hot-rolled (HR) coil orders and renegotiate the terms of shipments currently enroute to the US, importers say. An executive for a large overseas mill said customers might find it difficult to justify making imports buys after US President Donald Trump doubled the 25% Section 232 tariff on imported steel […]
CRU Insight: A 50% S232 tariff will raise US steel prices and shift trade flows
This CRU Insight examines how the increase in Section 232 tariffs on steel to challenging levels will lead to significatively higher prices for end consumers in the US market.
Steel market shakes tariffs off amid weak demand
Service centers and distributors contend that weak demand is to blame for the flattening of domestic steel spot prices, as reflected in Nucor Steel’s weekly Consumer Spot Price (CSP) notice. On Monday, the Charlotte, North Carolina-headquartered steel producer left prices unchanged from the previous week. Nucor has maintained prices of plate produced in Brandenburg since March 28.