Nucor, BRS Increase Galvanized Extras Due to High Zinc Prices

Prior to this change, NLMK revised their galvanized coating extras in early-November, with new prices going into effect on Jan. 1, 2022.

Zinc spot prices had spiked in mid-October, reaching a record $1.74 per pound, according to Kitco. Prices have eased since and are now hovering around $1.50 per pound. Recall that zinc spot prices reached a multi-year low back in March 2020 at $0.82 per pound.

SMU has done an analysis on the old and new extras, provided below. Select Nucor extras increased between 9-25%, with an average increase of 14% across the weights in the below table. Click here and select the ‘Sheet’ tab to see the latest extras by mill on the Nucor website.

Select Big River Steel extras increased between 17-36%, up an average of 29% for the below items. Note that the previous BRS extras went into effective in October 2020, so roughly 15 months between their revisions. The new Nucor extras are compared to February 2021 extras, 11 months between revisions. The new extras between the mills are almost identical. 

By Brett Linton, Brett@SteelMarketUpdate.com