Despite reporting a steep drop in year-over-year (YoY) earnings in its fiscal second quarter, Schnitzer Steel Industries’ sequential results improved on higher sales volumes and average net selling prices for recycled metals. The Portland, Ore.-based scrap recycler and long steel producer posted net income of $4 million in its Q2 2023 ended Feb. 28, down 89% […]
A plume of orange smoke was reported over the weekend at US Steel’s Gary Works in Indiana, according to the Times of Northwest Indiana (NWI). The Indiana Department of Environmental Management is investigating the incident, according to NWI. No production issues were associated with the situation, a spokesperson for the Pittsburgh-based steelmaker told SMU. “We are […]
Directors of Canadian miner Teck Resources have unanimously turned down what it described as an “opportunistic acquisition proposal” from Glencore. The offer values the Canadian miner at around US$23 billion (€21 bn). Glencore made the move soon after Teck announced first copper production from the QB2 expansion at Quebrada Blanca, Chile. Teck’s CEO Jonathan Price […]
Hascall Steel Co., a steel service center based in Grand Rapids, Mich., has acquired a new location in Chicago. The company said the operation, which opened its doors on Monday, April 3, is equipped with a full team of industry professionals and is already stocked to service current and new customers in the Chicago area […]
You may have wondered what goes on behind the scenes over here at CRU and Steel Market Update. CRU principal analyst Josh Spoores will talk about what goes into forecasts as well as his take on the latest market trends at the next SMU Community Chat on Wednesday, April 5, at 11 am ET. (You can register […]
Rig counts are down in the US and Canada this week, according to the latest data from oilfield services company Baker Hughes. The total US rig count was 755 for the week ended March 31, down three rigs from the week prior. The number of active oil rigs in the US dropped by one from the prior week’s 593. The […]
Canadian flat rolled producer Algoma Steel Inc. said its performance in the quarter ended March 31 would be much improved over the prior quarter thanks to attractive market conditions and steel prices that were at a nine-month high. In earnings guidance for its fiscal fourth quarter, Algoma said it anticipates quarterly steel shipments to be in […]
Steel mill leads time were largely flat this week, a trend change in a year that has seen them mostly rising, according to SMU’s latest steel market survey data. Case in point: hot-rolled coil lead times were flat for the first time since early January. We’ve noted a similar trend in prices, which tend to trend […]
Ternium SA and its affiliates aim to take a majority stake in Brazilian flat-rolled steelmaker Usinas Siderúrgicas de Minas Gerais SA (Usiminas). The Latin American flat-rolled steelmaker said it and related companies had agreed to pay $111 million in cash for 57.7 million in ordinary shares of Usiminas. The shares will be purchased from Japan’s […]
The percentage of steel buyers finding mills willing to negotiate prices slipped below 25% this week, according to SMU data. Across the products surveyed by SMU, cold rolled took the largest tumble, falling 10 percentage points to 19% of respondents saying mills were willing to talk price. Every two weeks, SMU asks steel buyers whether domestic mills are […]
The General Motors Co. (GM) recently recognized its top suppliers at its annual Supplier of the Year event in San Antonio, Texas. The Supplier of the Year award honors outstanding international suppliers who exceed GM’s requirements. Among the award winners were steelmakers Cleveland-Cliffs Inc., Nucor Corp., and Companhia Siderurgica Nacional (CSN). “We are thrilled to […]
About half of the US added construction jobs from January to February, according to Associated General Contractors of America (AGC) figures. Month over month (MoM), construction employment increased in 24 states, held constant in six states, and declined in 20 states and Washington, D.C. Year-over-year (YoY) construction employment increased in 45 states. California added the […]
On March 17, the Court of International Trade, the federal court with jurisdiction over most cases involving international trade regulation, issued a major ruling giving control over China tariffs to the discretion of the US Trade Representative (USTR). The case dealt with legal challenges in nearly 4,000 separate cases to the “List 3” and “List […]
Global crude steel production was estimated at 142.3 million metric tons in February, as steelmakers around the world cut output by 1.4 million metric tons vs. the same year-ago period, the World Steel Association (worldsteel) reported. Last month’s estimated production was also down sequentially, declining 2%, or 2.9 million metric tons, from January’s total crude […]
Is a banking crisis that started with Silicon Valley Bank (SVB) going to have a massive impact on the steel industry? Maybe. Regional banks lend to many service centers and smaller businesses, and ultimately aren’t as insulated as the larger institutions. Steel Market Update’s Laura Miller sat down with John Armstrong, founder and CEO of […]
SMU polled steel buyers on a variety of subjects on Monday and Tuesday of this week, including current and future steel prices, inventory strategies, supply, demand, and new mill capacity. Rather than summarizing the comments we received, we are sharing some of them in each buyer’s own words. We want to hear your thoughts, too! […]
Galvanized sheet continues to experience stable demand but market sentiment is waning, according to members of the Heating, Air-Conditioning & Refrigeration Distributors International (HARDI) speaking on the March 22 meeting of its Sheet Metal/Air Handling Council. Bullishness has subsided from sentiment in February. With lead times approaching eight weeks, HARDI members are experiencing tighter inventories and delayed […]
Esmark Inc. has announced the passing of Hans Joachim Schmidt, father of Esmark founding investor and longtime member of the Esmark board of directors, Uwe T. Schmidt. Hans Joachim Schmidt passed away on Feb. 19 at the age of 90, Esmark said, noting that he was a leader and internationally recognized business executive serving the […]
Finding your passion in life can take time, sacrifice, and dedication. For Jeremy Flack, founder and CEO of Flack Global Metals, it’s been a lifelong journey. On the heels of the inaugural Risk Initiatives Summit for Executives (RISE) Summit, Steel Market Update sat down with Jeremy for an exclusive interview. A lightly edited transcript of […]
Existing home sales rebounded in February from January, swinging positive for the first time in 13 months, according to the National Association of Realtors (NAR). However, all four major regions in the US registered year-over-year (YoY) drops, though month-on-month (MoM) sales were up among the four regions, NAR said. Sales of existing homes surged 14.5% […]
March scrap prices have settled up across the board after extensive trading. As previously reported, mills were resistant and prices were up. With prime scrap reportedly hard to obtain, March prices settled up nearly $100 per gross ton above February, market participants said. And it doesn’t appear this prime scrap rally is ending this month. […]
Price increases have dominated the headlines thus far in 2023. Since Jan. 1, we’ve had one blitz of tag hikes after another. In the eleven weeks since the start of the year, there’s only been a single week in which not a single mill announced a price increase. It sometimes felt like one mill had […]
More than three-quarters of US metro areas added construction jobs year-over-year (YoY) through January, according to Associated General Contractors of America (AGC) figures. Despite the employment boost, construction firms struggled to find enough qualified workers to hire, the report said. The report cautioned that projects may stall or be canceled altogether if contractors lack an […]
The US International Trade Commission issued a report to Congress last week on the impact of the Section 232 import restrictions on steel and aluminum and the tariffs on imports from China under Section 301. The report catalogued significant injury to downstream industries. Namely, those that use steel or aluminum in manufacturing. The losses were […]
SMU’s Steel Current Buyers Sentiment Index stayed level, whiile the Future Buyers Sentiment dropped off steeply, according to SMU’s most recent survey data. SMU’s 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 months down the road. Every other […]
The number of steel buyers finding mills willing to negotiate prices sank even further this week, according to SMU data. Galvanized was the only product surveyed by SMU to top 30% of respondents saying mills were willing to talk price, while plate dipped below 10%. Every two weeks, SMU asks steel buyers whether domestic mills are […]
Despite strong profitability within its different product segments, Nucor Corp. expects first-quarter earnings to be down both sequentially and year on year. The Charlotte, N.C.-based steelmaker said Q1 operating income should be higher than the previous quarter while net earnings will be lower. This is due to higher state tax benefits seen in Q4 as […]
The US Surface Transportation Board (STB) has approved the merger of the Canadian Pacific (CP) and Kansas City Southern (KCS) railways, subject to certain conditions. When completed, the two railways would combine to form Canadian Pacific Kansas City (CPKC), the first single-line railway that connects the US, Mexico, and Canada. “The decision authorizes CP to […]
Total US mill shipments of steel products increased in January, recovering from a 23-month low the month prior. January’s shipments were the highest since last August and totaled 7.63 million tons, a 6.5% increase from December’s 7.17 million tons. Apparent supply also saw a month-on-month (MoM) increase in January, up 7.9% vs. the prior month. This analysis […]
US Steel said it will begin closing coke-making batteries 1, 2, and 3 at its Clairton plant outside Pittsburgh later this month. First announced in early 2021, the shutdown will take an estimated six days and is expected to be completed by the end of March, the Pittsburgh-based steelmaker said Tuesday. US Steel noted that […]