Steel Mill Negotiations: All Products in Play

In the cold rolled segment, the talks have loosened a bit in the past month as 70 percent now report the mills open to price negotiations, up from 64 percent in March. Just 30 percent reported current cold rolled prices as firm.

In the galvanized sector, price talks are a 50-50 proposition. Half the respondents said the mills are flexible on price, down from 58 percent in the last poll, while half reported that galvanized prices are now nonnegotiable. Two out of three respondents said the mills are now willing to talk price on Galvalume.

Negotiations in the plate market have loosened noticeably, with the majority of buyers, 58 percent, now reporting plate prices in play.

Commented one manufacturer on flat rolled, “It’s still a narrow range between quoted and settled prices.” Added a service center exec, “They negotiate if the tonnage is enough.”

Note: SMU surveys active steel buyers twice each month to gauge the willingness of their steel suppliers to negotiate pricing. The results reflect current steel demand and changing spot pricing trends. SMU provides our members with a number of ways to interact with current and historical data. To see an interactive history of our Steel Mill Negotiations data, visit our website here.