Major capital investments come to the aluminum can sheet market By Greg Wittbecker, Advisor, CRU Group This month, the market has seen two new projects announced in the flat-rolled aluminum product sector: • Novelis will spend $2.5 billion for a new state-of-the art rolling mill in Bay Minette, Ala. • Ball Corporation will partner with […]
Flat-rolled steel prices were down again this week. Not as much as some had feared but the drops were more substantial than those hoping for a modest decline or stable pricing might have liked. The takeaway: Hot-rolled coil is now down $190 per ton ($9.50 per cwt) over the last five weeks. In other words, […]
Editor’s note: Steel Market Update is please to share this Premium content with Executive members. For information on how to upgrade to a Premium-level subscription, email Info@SteelMarketUpdate.com. Following record price increases in March and April, prices for six of the seven steelmaking raw materials tracked in this SMU analysis declined over the last 30 days. […]
Domestic mill raw steel production increased again last week, with the utilization rate climbing to an 18-week high and production rising to a 16-week high. US output totaled 1,789,000 net tons in the week ending May 21, with a capacity utilization rate of 82.0%, according to the American Iron and Steel Institute (AISI). Production rose […]
Nucor will decrease plate prices by $50-200 per ton ($2.50-10 per cwt) depending on the product. The Charlotte, N.C.-based steelmaker made the announcement with the opening of its July orderbook for plate. Prices for as-rolled and normalized plate will be cut by $50 per ton, those for cut-to-length plate less than 72 inches wide will […]
The relationship between hot rolled and galvanized steel prices has fluctuated sharply over the last eight months, with galvanized selling anywhere between a $195-545 per ton premium over hot rolled in that time. The premium reached a record high in February, but then quickly dialed back in March as prices shot up in response to the war […]
What’s up with plate? I’ve been asked again and again how plate has managed to maintain such a high premium over sheet this year. Here are a few arguments that have been made to me over the past week in support of high plate prices. And below that are a few charts I still find […]
By Greg Wittbecker, Advisor, CRU Group The London Metal Exchange announced plans on May 13th to require its members to make weekly reports of their over-the-counter (OTC) transactions to the Exchange. It also set an unusually short consultation period of two weeks for member response. This action is in direct reaction to the debacle in […]
Sheet steel prices are moving downwards after the March/April bump, while plate prices continue to hold their ground, according to SMU’s price indices published each Tuesday. Plate prices typically carry a premium over hot rolled prices because plate is a value-added product and requires more time on the mill. Hot rolled coil averaged $1,350 per ton ($67.50 per cwt) this week and has […]
Sheet prices slipped again this week on what some sources described as a summertime market that has arrived a few weeks earlier than usual. SMU’s hot-rolled coil price was down $15 per ton week-over-week (WoW) to an average of $1,350 per ton ($67.50 per cwt). Other sheet products also fell, with cold-rolled down $30 per […]
Raw steel production by US mills increased last week, reaching the highest utilization mark in 16 weeks. Domestic output totaled 1,785,000 net tons in the week ending May 14, while mill capacity utilization was 81.8%, the American Iron and Steel Institute (AISI) reported. US output was up 0.5% versus the week prior but 2.7% below […]
US apparent steel supply rebounded from February to March, rising 14% to 9.51 million tons, according to the latest US Department of Commerce and American Iron and Steel Institute (AISI) data. Recall that supply reached a six-year high last September at 9.92 million tons, declining each month thereafter and reaching an 11-month low in February (8.37 million […]
By Greg Wittbecker, Advisor, CRU Group The LME cash price for high grade aluminum continues to give ground, with prices at $2,715 per metric ton versus $2,861 per ton last week. There is still a lot of gloom and doom out there. Fear factor over demand is dominating price discovery Here are a few of […]
According to the latest Steel Market Update data, the spread between hot rolled coil prices and prime scrap prices has leveled out over the past eight weeks, after reaching an 18-month low in early March. The latest spread through May 10 is down compared to this time last year, but still higher than pre-pandemic spreads. […]
AZZ Inc. completed the purchase of Precoat Metals from its parent, Sequa Corp., for approximately $1.28 billion. The deal continues the Fort Worth, Texas-based company’s buying spree in the coated metals space. “Today we welcome the 1,100 employees of Precoat to the AZZ family and begin the work of swiftly integrating Precoat into AZZ while leveraging […]
Canada is seeking public comment as it considers collecting and publishing country-specific information about where steel imports are melted and poured under the nation’s Steel Import Monitoring Program. Mary Ng, Minister of International Trade, Export Promotion, Small Business and Economic Development announced the public consultations. Monitoring the country where a steel import was originally melted and […]
Imports of less expensive sheet and plate products continue to arrive at US ports, and at a faster pace in March. Following lighter volumes in February, overall flat product imports accelerated in March and took a larger share of the domestic steel market, according to Commerce Department data. Imports’ share of US sheet and plate markets […]
US raw steel production increased to 7.57 million net tons in March, up 8% from February’s 12-month low, according to recently released American Iron and Steel Institute (AISI) data. While up month over month, March holds the second lowest monthly production rate of the past 13 months. Recall that last August production reached a 20-month high of 8.29 million tons. […]
Sheet prices have fallen sharply following weeks of more modest declines. The big drops this week prompted SMU to shift all its sheet price momentum indicators from neutral to lower. SMU’s hot-rolled coil price plunged $75 per ton ($3.75 per cwt) week-over-week, falling well below the $1,400-per-ton threshold. Cold rolled fell $55 per ton, galvanized […]
US steel exports jumped 16% in March to 843,000 net tons, now the highest monthly level seen since June 2018, according to the latest US Department of Commerce data. On a 12-month moving average, March exports continue to hold onto a 3-year record high at 741,000 tons per month. Total March exports are 7% higher than levels seen […]
Raw steel production by US mills was largely unchanged, with just a marginal increase week-on-week (WoW). Domestic output totaled 1,777,000 net tons in the week ending May 7, while mill capacity utilization was 81.4%, the American Iron and Steel Institute reported. US output was up 0.1% versus the week prior but 3.1% below the same […]
Final US Department of Commerce data shows that steel imports in March rebounded 32% month-over-month to 3.09 million net tons, a 2+ year high. But April import licenses through May 4 are currently at 2.58 million tons, down 17% from March. (That said, April is still up 10% compared to February.) Final finished steel imports were 2.52 […]
By Greg Wittbecker, Advisor, CRU Group US equities market this past week were a microcosm of how fast sentiment can change. It reminded me of a favorite statement I use to explain commodity trading to people outside our world: “Markets move on fear and greed.” Welcome to the fear cycle. This cycle has plenty of […]
Sheet prices were flat or lower again this week on expectations of lower scrap prices and concerns about increased import competition over the summer months. Hot-rolled coil prices were down $10 per ton, cold-rolled prices were unchanged, galvanized base prices down $30 per ton, and Galvalume base prices down $35 per ton. Plate prices were […]
Raw steel production by US mills slipped last week, edging down following three weeks of gains. Domestic output totaled 1,775,000 net tons in the week ending April 30, while mill capacity utilization was 81.3%, the American Iron and Steel Institute (AISI) reported. US output was down 0.5% versus the week prior and 3.2% below the […]
By Greg Wittbecker, Advisor, CRU Group Since the outbreak of the war in Ukraine, the aluminum market has fixated on potential sanctions on Russia’s 3+ million metric tons of annual exports. So far, those sanction have not materialized. Several major players have announced their intention to suspend new business with Russia. Emphasis on “new business.” […]
Nucor aims to keep plate prices flat with the opening of its June 2022 order book. The decision marks a departure for the Charlotte, N.C.-based steelmaker, which had increased plate prices on March 9 for April orders and again on March 31 for May orders. “Effective with new orders received as of April 28, 2022, […]
Driven by strong OCTG demand in the Americas and higher line pipe shipments in Europe and South America, steel tube producer Tenaris saw a 15% sequential rise in first quarter sales to $2.367 billion. Sales were double that of the year-ago quarter. Higher pricing, increased drilling, and falling inventories drove a 20% sequential rise in […]
Sheet prices continue to bump around what some sources think might be the top of the market, with prices for most products down modestly week-over-week. Hot-rolled coil and cold-rolled prices slipped $30 per ton ($1.50 per cwt). Galvanized base prices were down $20 per ton. And Galvalume prices slipped $45 per ton. The dip comes […]
Preliminary Census data shows that steel imports in March increased 31% month-over-month to 3.09 million net tons, rising from an 11-month low to a 2+ year high. April import licenses through April 24 are currently at 2.07 million tons, down 33% from March and down 12% compared to February. Preliminary finished steel imports were 2.52 million tons in March, up […]