Prices
Nucor, ArcelorMittal Hike Prices by Another $40
Written by Tim Triplett
July 9, 2019
Nucor and ArcelorMittal announced a second price increase on flat rolled steel today, and other mills are likely to follow suit.
Effective immediately on new orders, prices for Nucor’s hot rolled, cold rolled and galvanized steel products are increased by $40 per ton ($2/cwt).
Following Nucor’s lead, ArcelorMittal USA also raised base prices on its light flat rolled products, including hot rolled, cold rolled and coated steels, by a minimum of $40 per ton, effective immediately. The increase applies to all new orders and recent quotes that have not yet been accepted by ArcelorMittal or AM/NS Calvert.
The notice to the mills’ customers comes just two weeks after the steelmakers announced the first increase, also of $40 per ton. Domestic mills are hoping a second announcement will reinforce the first, which is beginning to show signs of traction. Steel Market Update data shows the current average hot rolled price at around $535 per ton, up $15 from last week, which suggests the market’s slide may have finally turned around.
The benchmark price for hot rolled steel has declined by around 40 percent since peaking at $910 per ton last July, devaluing inventories and squeezing margins for both producers and distributors.
Tim Triplett
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