SMU Survey: Buyers report mills are less negotiable on sheet prices, more on plate

Less than half of the steel buyers who responded to our market survey this week reported that domestic mills are willing to talk price on new spot orders.

Mills began to hold a firmer stance on sheet prices in late October and have tightened their grip since. Meanwhile, negotiability on plate products has increased in our last two surveys.

SMU polls hundreds of service center and manufacturer buyers every other week asking if domestic mills are negotiable on new spot order prices. This week, only 48% of respondents said mills were willing to talk price to secure an order. This is down one point from our late November survey and the lowest rate measured since April (Figure 1).

Mills briefly held pricing power back in February and March when tariff headlines pushed prices higher. That leverage shifted back to buyers across April and May and had mostly remained there through October.

Negotiation rates highest on plate

Of the five products we track, three saw lower negotiation rates this week and are down to multi-month lows. Mills remain significantly more negotiable on plate products than sheet (Figure 2). Current rates are:

Hot rolled: 43% of buyers said mills are negotiable on price, down one point from late November and the lowest since April.
Cold rolled: 38%, recovering two points from the seven-month low recorded two weeks prior.
Galvanized: 53%, down six points and the lowest since April.
Galvalume: 43%, down 12 points and the lowest since April.
Plate: 80%, up nine points and the highest since September.

Buyer remarks:

“Some mills are and some aren’t – the ones that are have much shorter backlogs.”

“Galvanized still has some room to negotiate with tons.”

“Tons talk.”

Note: SMU surveys active steel buyers every other week to gauge their steel suppliers’ willingness to negotiate new order prices. The results reflect current steel demand and changing spot pricing trends. Premium members can view an interactive history of our steel mill negotiations data on our website.

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.