CRU: Longs pricing trends diverge in North, South America

Most longs prices in the US were unchanged this month, except for rebar, which declined by $1.50/cwt ($30/short ton) m/m. While end-use demand is stable, inventories are well-stocked, keeping purchases limited. Domestic availability is sufficient to meet current demand, hindering the appetite for imported material. Meanwhile, prices for scrap remained under pressure in June, with expectations of further decreases in July amid continued weak demand.

Wire rod prices were flat m/m at $43/cwt ($860/st), although prices varied widely depending on volume. Domestic lead times are low, and supply easily meets current demand. Consequently, import licenses fell off in June as buyers are unwilling to wait for material when domestic prices are under pressure and delivery times are short. According to the US Department of Commerce, June import licenses indicated wire rod imports are down roughly 60% m/m from May.