Steel Mills

CSI Adjusts Coating Extra on Lower Zinc Price
Written by Tim Triplett
August 21, 2018
California Steel Industries was the first mill to announce a change to its coating extras this week. Steel Market Update’s comparison of the new rates with the previous rates that took effect one year ago, on Oct. 1, 2017, shows an average reduction of 14.1 percent, with no change in the width/thickness extras.
Buyers of galvanized steel have been waiting to see if and when the mills would adjust their coating extras to reflect the lower cost of zinc. The price of zinc has dipped to as low as $1.05 per pound this month, from highs above $1.60 per pound in February. Zinc is used to apply a corrosion-resistant coating to galvanized steel products.
CSI sent the following notice to customers on Aug. 20: “The purpose of this letter is to inform you that CSI’s October Flat Rolled order book is now open. Due to changing market conditions, we have revised our zinc extras…” The change applies to new orders only.
Steel Market Update is in contact with other mills to see if they plan to follow suit.

Tim Triplett
Read more from Tim TriplettLatest in Steel Mills

U.S. Steel sues Algoma over iron pellet shipments
U.S. Steel is suing Algoma over the Canadian flat-rolled producer's rejection of iron pellet shipments, arguing it has breached its contract.

August US mill shipments slip but still higher than last year
The American Iron and Steel Institute reported a decline in the monthly shipments of US mills from July to August.

TransPod, Algoma, Supreme Steel linkup anchors Canadian steel in high-speed transit build
The three Canadian companies have announced a strategic partnership to support the development of an ultra-high-speed transit line from Edmonton to Calgary.

Metallus, USW agree to tentative four-year labor deal
Metallus and the United Steelworkers (USW) have agreed to a tentative four-year labor contract.

ArcelorMittal Dofasco resumes cokemaking after emergency maintenance
The Canadian steelmaker reported on Sept. 30 that “urgent maintenance” was needed in its coke plant off-gas systems. The work required coke oven gas from the No. 2 coke plant to be flared for most of that week.