Raw steel production by US mills fell again last week as capacity utilization slipped to only 72.9%, according to data released by the American Iron and Steel Institute (AISI) on Monday, Dec. 19. The decline came as mills in the South and Northeast cut production, even as those in the Great Lakes, Midwest, and West […]
Trying to neatly summarize the North American steel market right now can give you a case of cognitive dissonance. Domestic mills think they have some momentum, and they’re trying as hard as they can to get prices higher for Q1. Case in point: ArcelorMittal has put the heft of one of the world’s largest steelmakers […]
The number of active drilling rigs dipped this week in the US and in Canada, according to data from oilfield services company Baker Hughes. The number of oil and gas rigs in operation is important to the steel industry because it is a leading indicator of demand for oil country tubular goods (OCTG), a key […]
The trend is your friend these days in US HRC futures. They posted another strong week of gains on the back of a massive upswing in the index last week. While widely expected to be higher—we supposed a $40-per-ton increase was being priced into the cards in our last comment on Dec. 9—this still managed […]
We’re nearing the end of 2022, which means it’s time to register for the Tampa Steel Conference as you make your travel plans for 2023. The event will be at the Tampa Marriott Water Street hotel again this year. Mark your calendar for Sunday-Tuesday Feb. 5-7. Nearly 200 of you have registered already. We’re on track […]
Flat Rolled = 52.4 Shipping Days of Supply Plate = 50.3 Shipping Days of Supply Flat Rolled US service center flat-rolled supply in November was steady month on month (m/m), according to Steel Market Update data. At the end of November, service centers had 52.4 shipping days of flat-rolled steel supply on an adjusted basis, compared […]
Domestic hot-rolled coil (HRC) continues to hold a competitive price advantage over imported steel, though that advantage is slightly easing, according to our latest analysis. US HRC is theoretically 3–13% cheaper than foreign prices this week, after consideration of freight costs, trader margins, and any applicable tariffs. This is the seventh consecutive week domestic prices […]
Nucor Corp. said Noah Hanners will be promoted to executive vice president effective Jan. 1. Hanners began his career with Nucor in 2011, the steelmaker said, noting that he currently serves as vice president and general manager of the David J. Joseph Co. “Noah has proven his abilities in the many leadership roles he has held at Nucor and throughout his career,” Nucor chair, […]
On Monday and Tuesday of this week, SMU polled steel buyers on a variety of subjects including current and future steel prices, inventory strategies, supply, demand, and new mill capacity. We are sharing the comments we received in each buyer’s own words rather than summarizing them in ours. We want to hear your thoughts, too! […]
Cleveland-Cliffs Inc. aims to increase spot market base prices for flat-rolled steel by at least $50 per ton ($2.50 per cwt) effectively immediately. The steelmaker announced the price hike, a leading move, in a press release on Tuesday, Dec. 13. The increase applies equally to hot-rolled, cold-rolled and coated products. The company noted that the […]
Institute for Supply Management® CEO Tom Derry will join SMU for our next Community Chat on Wednesday, Dec. 14, at 11 a.m. ET (10 a.m. CT). You can register here. ISM is the first and largest supply management association in the world. That means Tom Derry is in a great position to talk about both […]
Ferrous scrap prices increased from November to December, according to Steel Market Update sources, breaking the seven-month cycle of price declines. Buyers reported prime scrap prices increased roughly $30 per gross ton, while shredded prices rose $20 per ton. “Scrap prices are up a minimum $20-30 per ton this month,” reported one scrap executive. He […]
The federal government and the domestic steel industry lashed out against a World Trade Organization (WTO) decision ruling that the US violated international trade rules with Section 232 national security tariffs on steel and aluminum. The WTO on Friday, Dec. 9, ruled in favor of Norway, which challenged the Section 232 tariffs – 25% on steel and […]
The latest SMU Market Survey results are now available on our website to all Premium members. After logging in at SteelMarketUpdate.com, visit the Analysis tab and look under the “Survey Results” section for “Latest Survey Results.” Historical survey results are also available in the Survey Results section under “Survey Results History.” If you need help […]
The US Department of Commerce has updated antidumping and countervailing duties (AD/CVD) on carbon and alloy cut-to-length plate imports from Italy and South Korea after two administrative reviews, according to Federal Register filings reviewed by Steel Market Update. In the AD duty review of Italian CTL plate shipments during the one-year period ended April 30, […]
Domestic hot-rolled coil (HRC) continues to hold a competitive price advantage over imported steel, according to Steel Market Update’s latest foreign vs. domestic price analysis. US HRC is approximately 6–15% cheaper than foreign prices this week, after consideration of freight costs, trader margins, and any applicable tariffs. This is the sixth consecutive week US prices […]
Sheet imports into the US slowed noticeably in November, while imports of plate and semifinished slab rose, according to the latest license figures released by the US Department of Commerce’s International Trade Administration. All steel imports into the US require an import license to enter through Customs. The license count provides a first look into […]
JSW Steel USA announced that Mark Bush has stepped down as CEO to pursue other opportunities. Greg Manfredi, current COO of JSW Steel USA, will take interim charge, and lead both the Mingo Junction, Ohio, and the Baytown, Texas, teams. His role will also include the continued execution of the modernization and upgrades of the […]
US Steel has idled a second blast furnace at its Košice steelworks in Slovakia. The No. 1 BF at Košice has been temporarily idled as of Dec. 2 “as a result of very high energy prices, low market demand and surging imports,” a US Steel spokeswoman confirmed to SMU in an email Tuesday, Dec. 6. […]
Friedman Industries continues to see benefits of its April acquisition of Plateplus Inc., but sharply declining steel prices significantly suppressed earnings. The Longview, Texas-based steel processor and manufacturer said the fiscal 2023 second quarter ended Sept. 30, 2022 was a “period of considerable margin compression” driven by sharply declining hot-rolled coil (HRC) prices. Friedman reported […]
Wolfe Research managing director Timna Tanners joined SMU for an Community Chat on Wednesday to talk about her forecast for 2023, including the calm before the sheet storm. Tanners is bullish about the first half next year. She forecast HRC prices would average $775 per ton ($38.75 per cwt) in Q1 2023, dip to $750 per ton […]
Cleveland-Cliffs is in the process of restarting the No. 7 blast furnace at its Indiana Harbor steel mill in East Chicago, Ind. “All good with the re-start procedure that is ongoing,” a company spokeswoman said in an email to Steel Market Update on Friday, Dec. 2. The Cleveland-based steelmaker said that there had been a […]
Editor’s note: SMU Contributor Michael D’Angelo is a researcher and trader at Marex. In his role, Mike performs fundamental and quantitative analysis, which directly leads to actionable trading/risk management strategies across the base, precious, and ferrous metals derivative spaces. Prior to joining Marex, Mike received a BA in economics with a minor in finance from Princeton […]
Is the market at a bottom or not? Cleveland-Cliffs and US Steel have each announced price hikes of $60 per ton ($3 per cwt). And we’re told other mills might follow. If this isn’t a bottom, it sure looks like domestic mills are trying to create one with a floor of ~$600 per ton for […]
Welded pipe imports from four nations will continue to face antidumping (AD) duties after determinations from US trade agencies. Circular Welded Carbon-Quality Steel Pipe from Oman, Pakistan, and UAE — Sunset Review Results Circular welded carbon-quality steel pipe from Oman, Pakistan, and the United Arab Emirates will continue to be subject to AD duties for at […]
Steel Market Update’s (SMU) Steel Buyers Sentiment Index surged 13 points last week and now stands at a five-month high. Our Future Buyers Sentiment Index also increased, up three points to one of the highest readings since May. Buyers Sentiment had peaked earlier this year, then trended downward through mid-November, always remaining in positive territory. SMU’s Buyers Sentiment […]
Wolfe Research managing director Timna Tanners will be the featured speaker on our SMU Community Chat webinar on Wednesday, Nov. 30, at 11 a.m. ET. The live webinar is free. A recording will be available free to SMU members. It’s not too late to register here. We’ll talk about Tanners’ outlook for steel prices, raw materials costs, […]
Steel Market Update will be taking time off in observance of Thanksgiving. We will not publish an issue on Thursday, Nov. 24, or Sunday, Nov. 27. Our offices will be closed on Thursday and Friday, Nov. 24–25. Premium members will receive our Survey Results earlier than usual: We plan to publish the data on Wednesday […]
Rumors of a holiday-season price increase continue to ping pong around the market. Will mills announce one on Wednesday ahead of Thanksgiving, in early/mid-December, or not until early next year? Let’s leave the timing aside for a moment and consider why those rumors have been so persistent. On the spot market side, we’ve seen some […]
Steel mill lead times were mixed this week compared to our previous market check, with production times slightly shrinking for three products and marginally extending for two. Hot rolled, cold rolled, and galvanized lead times are now at or near multi-year lows. Lead times are down by an average of 0.2 weeks compared to one […]