Canada
March 2, 2025
Written by Stephen Miller
The US scrap market was already in an upward state of flux. And the trend has been amplified by the looming threat of President Trump’s blanket 25% tariffs all imports from Canada and Mexico.
The 25% tariffs – which could include scrap shipments from Canada and Mexico – are set to become effective on Tuesday, March 4.
The latest tally of active drilling rigs rebounded in the US and moved higher in Canada this week, according to oil and gas rig count data published by Baker Hughes. The US rig count rose by five to 603 rigs this week, reaching a 17-month high. Compared to this time last year, there are 56 more rigs in operation today.
Steel imports into the US crept higher in August and continued climbing in September, according to the Department of Commerce's latest import license data. August imports rose 3.4% from July to a 15-month high. September license data collected through Oct. 5 shows another 6.2% month-on-month increase. Imports continue to recover from some of the lowest levels since 2020, seen late last year through February this year.
Earlier this week, SMU polled steel buyers on topics ranging from market prices, demand, and inventories to tariffs, imports, and evolving market events. Below, we share a selection of the comments we received, in each buyer’s own words.
The Canadian government has reportedly given Cleveland-Cliffs Inc. five days to respond to a letter from Canadian Industry Minister Mélanie Joly about the Stelco layoffs or face legal action.
SMU’s latest Flat-Rolled Steel Survey points to largely stable demand, but foreign steel orders have softened since the previous survey, and service centers continue to report stronger activity than manufacturers.