Mill Negotiation Rate Soars

The overall steel mill negotiation rate jumped 14 percentage points this week vs. the last market check, with plate’s rate rising by eight percentage points, according to SMU’s most recent survey data.

Every two weeks, SMU asks steel buyers whether domestic mills are willing to negotiate lower spot pricing on new orders. This week, 90% of participants surveyed by SMU reported mills were willing to negotiate price on new orders, rising from 76% from two weeks earlier (Fig. 1). This marks the first time the rate has hit the 90% mark since early November of last year.

Ethan Bernard

Ethan Bernard is managing editor for Steel Market Update. He previously worked for American Metal Market as a copy editor in the New York office for two years, starting in 2008. Later, he copy edited AMM’s monthly magazine on a freelance basis from 2015 until 2017. With experience in financial copywriting and textbook publishing, he holds a BA in Comparative Literature from UC Berkeley, and an MFA in Creative Writing from New York University. He can be reached at ethan@steelmarketupdate.com or 724-759-7871.