Analysis
February 18, 2021
Written by Michael Cowden
Severe winter weather across North America has forced automakers to reduce shifts or temporarily halt production from Michigan to Mexico.
But the impact–not only of the weather but also of natural gas shortages and power outages–appears to be more fleeting than the problems posed by a microchip shortage, which has caused some plants to shut down through mid-March.
Sheet and plate prices continued to tick mostly higher this week amid a supply squeeze that shows no signs of loosening its grip on the US market.
This October, SMU is introducing a new way to keep you informed on the latest steel market news and insights: the Daily Digest. Beginning in mid-October, our new Daily Digest will replace the three newsletters currently delivered each week.
The scrap market for October is looking for direction as some participants on both sides of the furnace are indicating scrap prices are poised for an increase.
SMU’s latest Flat-Rolled Steel Buyers Survey shows that in a tight US market marked by long lead times, low inventories, and rising prices, foreign products continue to gain the interest of domestic buyers.
Domestic raw steel output fell to a six-month low last week after hitting a multi-year high one week earlier, according to the latest American Iron and Steel Institute (AISI) figures.