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    November 22, 2022

    Buyers Continue to Hold Upper Hand in Price Negotiations

    Written by Brett Linton

    A very high percentage of sheet buyers continue to report that mills are willing to talk price to secure an order, as they have since May, with more than nine out of ten reporting that this week. Negotiations on plate products are not as common, with slightly more than half of buyers reporting they are able to negotiate lower prices on new orders.

    Every other week, SMU asks survey respondents: Are you finding domestic mills are willing to negotiate spot pricing on new orders? On average, 86% of steel buyers polled this week reported that mills were willing to negotiate on new order pricing. Two weeks ago we saw a rate of 91%, the highest rate recorded since January. As shown in Figure 1, negotiation rates have remained relatively high for over six months.

    Brett Linton

    Brett Linton is a digital operations analyst for Steel Market Update, where he began his career. Linton has been in the steel industry since 2010. He has held roles as a category manager and strategic insights director at Reibus before returning to SMU in 2024. He is a graduate of The University of North Georgia with a degree in Finance and Accounting. Brett can be reached at brett@steelmarketupdate.com or 724-314-0179.

    Read more from Brett Linton

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