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    Analysis

    December 12, 2018

    Final Thoughts

    Written by John Packard

    JSW Ohio tried to run their EAF and caster today, but found they needed a couple of small fixes. The goal is now to melt their first heat and cast their first slab tomorrow (Friday). We continue to watch this closely as there will be an impact on the market once the mill has been able to run successfully and consistently and is then able to solicit orders for 1Q from service centers. SMU will be following up with JSW Ohio on Friday and will report what we have learned in Sunday evening’s issue of our newsletter.

    Roger Walburn Steel 101 Toledo 2018We had a great group of people at our Steel 101 workshop in Toledo, Ohio, earlier this week. One thing I am noticing, there seem to be more and more women attending our workshops. If you are of the female gender, do not be afraid to sign up for our workshop. We have women from steel mills, manufacturing companies, service centers and more attending our programs. Our next Steel 101 workshop will be held in Starkville, Miss., on Jan. 29-30, 2019. The workshop will include a tour of one of the more interesting steel mill facilities: SDI Columbus, a minimill that produces HR, HRPO, CR, GI, AZ and pre-painted steels on their own paint line. You can learn more about the workshop by going to www.SteelMarketUpdate.com/Events/Steel101 or by contacting me at 800-432-3475.

    John Packard

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    Latest in Analysis

    November scrap prices rise as market nears settle

    November scrap procurement has commenced in the US with buyers divided on the price increases from the previous month. Several mills reportedly sought a rise of $20 per gross ton (gt) while others saw $30/gt as the number. The $30/gt price tag mainly applies to the obsolete grades, like shredded, P&S and #1 HMS, with prime grades pulling up the rear at $20. SMU spoke to a Chicago-based source who said that market was up $30/gt and 20/gt on shredded and busheling, respectively. He also mentioned the integrated mills in this district are after heavier grades like P&S and railroad grades, like wheels. These grades have been in short supply since last summer. Our source believes they commanded prices up $30/gt while busheling was at plus $20.

    SMU scrap market survey results now available

    SMU’s November ferrous scrap 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 Ferrous Scrap Survey results. Past scrap survey results are also available under that selection. If you need help accessing the survey results or if your company would like to have your voice heard in our future surveys, contact smu@crugroup.com.

    Scrap export market activity perks up

    There has been an upsurge in Turkish deep-sea scrap buying over the last week for December shipment. Prices paid increased but not as much as the trade expected.cDuring the last week, Turkey-based steelmakers bought at least seven cargoes, largely from the UK and Northern European suppliers, while virtually shunning higher priced US scrap. The initial wave of sales of HMS 80/20 ranged from $395-$398.50 per metric ton (mt) on a CFR basis. This equated to an average increase of less than $5/mt. The was one cargo bought later at $401/mt from this region.