US apparent steel supply rose 6% in March to 8.03 million net tons compared to the previous month, according to data from the US Department of Commerce and the American Iron and Steel Institute (AISI). Apparent steel supply is determined by combining domestic steel mill shipments and finished US steel imports, then deducting total US […]
US non-farm payrolls data showed stronger than expected job growth in April and a further drop in the unemployment rate. The US Bureau of Labor Statistics (BLS) reported that 253,000 jobs were created in April against an expectation of 180,000, while the unemployment rate fell slightly from 3.5% to 3.4%. US non-farm payrolls data showed […]
Private equity firm Apollo has been looking to add Arconic to its portfolio for some time. Almost since its spin-off from its upstream parent, Alcoa, in 2016, Arconic’s assets and key position in the aluminum semis value chain have been on Apollo’s radar. The deal is expected to close before the end of 2023, at […]
The spread between hot-rolled coil (HRC) and prime scrap prices narrowed in May from April after having widened since the beginning of the year, according to Steel Market Update data. Both SMU’s hot-rolled coil price average and busheling prices dropped this week. Our hot-rolled coil average slipped $15 per ton week over week to $1,105 per ton ($55.25/cwt) […]
After surprising the market watchers of HR futures in the first week of May, the index finally gave back $40 per short ton (ST) in the second week, coming in just shy of $1,130/ST. Interestingly, the May futures settlement was almost unchanged from April 10 . While the market may be in a hurry for price […]
Hot-rolled coil (HRC) imports remain a feasible alternative despite repeated price decreases in the US market, according to SMU’s latest foreign vs. domestic price analysis. Domestic tags are still notably more expensive than imported product, as offshore steel prices and US prices decline in tandem. The price advantage domestic HRC had enjoyed over imported material as recently […]
US scrap prices fell across the board in May, and expectations are that June could move lower still on weaker global demand. “Domestic demand was generally decent aside from several mills in the Ohio Valley that had substantially reduced buy programs,” one scrap source said. “Ironically, Ohio is still home to the strongest ferrous scrap market […]
Sheet price continued to decline this week on increased supply, shorter lead times, and aggressive pricing from some domestic mills. Also pressuring steel prices were expectations of lower scrap prices and import competition. SMU’s hot-rolled coil price now stands at $1,070 per ton ($53.50 per cwt), down $35 per ton from $1,105 per ton last […]
Raw steel production by US mills dropped slightly last week vs. the previous week, according to data released by the American Iron and Steel Institute (AISI) on Monday, May 8. Domestic steel production was 1,712,000 net tons during the week ended May 6, off 0.2% from 1,716,000 tons the prior week. Production was 3.4% lower than the […]
Premiums for aluminum in the US took fell again last week following a period of stability after the Federal Reserve stepped in the wake of the closure of Silicon Valley Bank (SVB). Economic struggles have continued to depress shipment volumes into Q2, and many major macro data points are still muddied. Last week another bank […]
Licenses to import steel into the US declined from March to April, with all major flat-rolled product categories showing month-on-month (MoM) declines, according to the latest figures from the Department of Commerce’s US Steel Import Monitor. Import licenses totaled more than 2.292 million net tons in April. This was a 12% drop from March’s final import […]
Hot-rolled coil (HRC) imports remain attractive to US buyers despite the current price correction in the domestic market, according to SMU’s latest foreign vs. domestic price analysis. Domestic tags are still significantly more expensive than imported product, namely because offshore steel prices are declining concurrently with US tags. The price advantage domestic HRC had enjoyed over imported […]
Northwest Pipe reported a drop in first-quarter earnings but is optimistic on the remainder of the year. The Vancouver, Wash.-based pipe producer saw Q1 net income dropped 34% from the year-ago quarter to $2.4 million, with sales down 9% to $99.1 million. “As we expected, the first quarter was challenging due to severe weather events […]
US hot-rolled coil prices slipped for a third consecutive week as market participants debated whether and when the declines might accelerate. Another big question: where the new floor for HRC might be? SMU’s hot-rolled coil price dipped to $1,105 per ton ($55.25 per cwt), down $15 per ton from last week and down $55 per […]
Domestic scrap prices are expected to fall in May, market sources told SMU. “Despite decent domestic demand, the recent and apparently continuing drop in the global scrap price will pressure US prices in May,” one market source said. “The global market for finished steel and semis is oversupplied, and Turkish demand is in a holding […]
Turkish scrap import prices continued to fall last week. Subsequently CRU’s assessed Turkish scrap price for HMS1/2 80:20 is $415 per metric ton FOB Turkish port, down $11 per metric ton week-on-week and $28 per metric ton month-on-month. This is based on several deals concluded before and sooner after the Eid holidays. Turkish scrap deals […]
Raw steel production by US mills inched up again last week, rising 0.9% from the week before and moving higher for a fourth consecutive week, according to data released by the American Iron and Steel Institute (AISI) on Monday, May 1. Domestic steel production stood at 1,716,000 net tons during the week ended April 29 vs. 1,700,000 tons […]
Sheet prices fell across the board this week on the heels of shorter lead times, higher-than-anticipated inventory levels, and potential import competition. Some market participants predicted that further declines would be “managed” by a more consolidated flat-rolled steel industry. Others said they feared that prices could come down quickly given how sharply they rose in […]
Hot-rolled coil prices edged downward for the first time since late November, according to SMU’s latest check of the market. The dip in HRC prices comes after we saw lead times contract slightly, an uptick in the number of mills willing to negotiate lower prices, and a modest increase in sheet inventories. SMU’s hot-rolled coil price […]
Manufacturing business activity increased for the first time in New York state in five months, according to the latest Empire State Manufacturing Survey taken between April 3-10. The New York Fed’s Empire state headline general business conditions index jumped 35 points month-over-month to 10.8, as new orders and shipments rose as well. The survey’s new orders […]
CRU expects metallics prices to continue trending down in May 2023 as supply will continue to outpace demand in most markets. In the US, obsolete scrap prices are expected to move lower as the inflow to scrap yards will pick up seasonally, and dealers get more inclined to sell. In Europe, the macroeconomic environment will […]
The World Trade Organization keeps on rolling along. Last week, the current director general (DG) of the World Trade Organization, Ngozi Okonjo Iweala, made a trip to the United States to attend the IMF annual meetings and to meet with international trade-oriented officials and business representatives. Her itinerary included addressing the Washington international trade community, […]
SMU’s Steel Current and Future Buyers Sentiment Indices have both slipped from two weeks ago as the gap between them has widened, according to SMU’s most recent survey data. The Steel Buyers Sentiment Indices measure how steel buyers feel about their company’s ability to be successful in the current market, as well as three to six […]
Turkish pipe and tube maker Borusan Mannesmann has finalized its buy of Panama City, Fla.-based Berg Pipe for $162 million. Borusan said it has acquired 100% of the US pipe maker, which manufactures large-diameter line pipe. “By acquiring Berg Pipe, a company with a total manufacturing capacity of 550,000 tons, we have secured a strategic […]
Cleveland-Cliffs is set to offer $750 million in unsecured guaranteed notes due in 2030. “The offering is expected to close on April 14, 2023, subject to the satisfaction of customary closing conditions,” Cliffs said in a statement on Tuesday, April 11. The Cleveland-based steelmaker said the offering is exempt from the registration requirements of the Securities […]
Some people like to talk scrap, but not many talk as much scrap as CRU’s Senior Analyst, Alexandra (Alex) Anderson. We sat down with Alex ahead of the ISRI conference to discuss the role scrap plays in the steel industry. A lightly edited version of the interview is below. Steel Market Update: How long have […]
Does anyone think the “new normal” will be normal? In fact, has anyone even mentioned the word “normal” since 2020? I haven’t consulted the Merriam-Webster, but by this point they might’ve changed the definition. Black Swans. Mini-Swans. Bracket-busters. Good old fashioned Force Majeure. There is no shortage of terms to show that unexpected big changes […]
Hot-rolled coil prices marked a third consecutive week of very modest gains amid questions about whether the market was at or near a peak. Steel Market Update’s hot-rolled coil prices stands at $1,160 per ton ($58 per cwt), up $5 per ton from last week. HRC prices have risen only $20 per ton since March […]
An upgrade to JSW Steel USA’s mill in Mingo Junction, Ohio, is reportedly in the works. The company has proposed a $160 million investment for the mill, according to Samir Kapadia, principal at Vogel Group and lobbyist for JSW in Washington. Kapadia recently met with Parth Jindal, heir of India’s JSW Steel (of which JSW […]
US steel mill shipments declined 3.2% in February vs. January, and were off 4.4% from February 2022, the American Iron and Steel Institute (AISI) reported on Wednesday. Domestic steel mills shipped 6,917,842 net tons in February, compared with 7,148,270 tons in January and 7,232,679 tons in the same month a year earlier. AISI said that shipments […]