Builder confidence took a major tumble in May as rising interest rates impacted affordability, signaling a slowdown in the housing market. According to the National Association of Home Builders/Wells Fargo Housing Market Index (HMI), double-digit price increases for materials and ongoing home price appreciation are taking a toll on demand. Homebuilder sentiment fell for the […]
Strict and strictly enforced trade laws are key to backing the steel industry’s investments in decarbonization. That was the takeaway from a press conference on Tuesday, May 17, at the AISTech 2022 conference in Pittsburgh. Executives from Steel Dynamics Inc. (SDI), Commercial Metals Co. (CMC), the Steel Manufacturers Association (SMA), and the American Iron and […]
Business activity in the state of New York sank in May, a startling result following a strong turnaround in the headline index the month prior, according to the Empire State Manufacturing Survey. The New York Fed’s Empire State headline general business conditions index – a gauge of manufacturing activity in the state – is now […]
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 […]
North American auto assemblies shrank by 15.8% in April, falling for the first time in 2022 as ongoing supply hurdles mount. Despite the recent decline, North American production has improved since bottoming out last December. April’s results are just 4.6% higher year-on-year (YoY), and still 14.4% below the pre-pandemic period of April 2019. North American […]
Nucor Corp. has agreed in principle to acquire C.H.I. Overhead Doors for $3 billion. C.H.I. is a leading manufacturer of residential and commercial overhead and rolling doors serving US and Canadian markets, and an affiliate of investment funds managed by Kohlberg Kravis Roberts & Co. L.P. (KKR). The transaction value represents approximately 13x C.H.I.’s estimated […]
Steel Market Update’s Steel Buyer’s Sentiment Index slipped 2 points last week following three consecutive weeks of steel price declines. Our Future Sentiment Index was unchanged and remains at a new high set just two weeks prior. SMU surveys buyers every two weeks and asks how they view their chances of success in the near […]
Toyota North America has slashed its May production by roughly 30,000 vehicles, with more reductions in June still possible because of ongoing global microchip and parts shortages, a company spokesperson said. The move was just one of a string of production cuts among North American automakers. “Toyota’s North American plants continue to face intermittent production delays […]
The prices contractors pay for construction materials and services – chiefly for new nonresidential construction – jumped by more than 21% in April versus the same year-ago period, reports the Associated General Contractors of America (AGC) in its latest analysis of government data. The association has called for relief to hard-hit employers from tariffs, especially […]
MaryEmily Slate, Nucor’s executive vice president of commercial, will retire on June 11 due to health-related issues. Dan Needham, Nucor’s executive vice president of bar, engineered bar and rebar fabrication products, has been named to succeed her. The transition is effective May 15, Nucor said. Slate joined Nucor in 2000 as district sales manager of Nucor Steel Arkansas. […]
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 […]
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 […]
Total mill shipments of steel products recovered in March following repeated declines at the start the year. March’s mill shipments totaled 8.342 million tons, a 9% increase from February’s 7.655 million tons. Apparent supply also surged in March, up 12.9% versus the prior month, and expanding for the first time in three months. This analysis is based […]
Stellantis, Chrysler’s European parent company, is the latest domestic carmaker to halt production due to the semiconductor shortage, a spokeswoman told Steel Market Update (SMU). The Auburn Hills, Mich.-based automaker will pause production of some high-demand SUVs the week of May 9. The Belvidere, Ill., assembly plant, which makes the Jeep Cherokee SUV, has seen […]
Swedish steelmaking start-up H2 Green Steel (H2GS) has pre-sold more than 1.5 million tons of hydrogen-based steel in offtake supply agreements, the company confirmed. The agreed volumes are for 2025 production onwards and cover more than 60% of the company’s initially estimated annual production of 2.5 million tons. The multi-year supply contracts range between five […]
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 […]
A previously shuttered iron ore concentrate facility on the Mesabi Iron Range might be coming back to life under the newly-formed MagIron LLC. The Plant 4 concentrator near Grand Rapids, Minn., formerly owned by Magnetation and once rescued from bankruptcy by ERP Iron Ore – which subsequently filed for bankruptcy itself – has been acquired by former […]
Construction employment edged up by just 2,000 jobs in April because contractors scrambled to find workers in an increasingly tight labor market, the Associated General Contractors of America (AGC) reported. “The pause in employment gains last month most likely signifies a shortage of qualified workers rather than any slowdown in demand for projects,” AGC chief economist […]
The US labor market expanded at a rapid pace in April, adding 428,000 new jobs, matching the downwardly revised 428,000 increase in March. The result kept the unemployment rate unchanged month-on-month (MoM) at the pandemic-era low of 3.6%, the Bureau of Labor Statistics reported. Payroll gains were better than economists had expected amid an increasingly […]
US job growth was strong in April, exceeding early estimates by approximately 7%. Employers added 428,000 in April, matching the downgraded figure for March. The result kept the unemployment rate unchanged at 3.6% – slightly higher than estimates of 3.5%, and just a touch above pre-pandemic levels in 2020, according to the Labor Department. The […]
US construction spending in March totaled $1.730 trillion at a seasonally adjusted annual rate, just 0.1% above February’s total. Investment in construction cooled because increased spending on residential projects was offset by a decline in nonresidential investment, the Commerce Department reported. Construction spending in March missed expectations, down from a 0.5% gain in February and behind […]
The Dodge Momentum Index moved 6% higher in April, rebounding following lower revised reading for the month prior, according to data and analytics from the Dodge Construction Network. The index registered 164.8 last month, up from March’s downward revised reading of 155. In April, planning for commercial projects drove the index’s overall reading upward, expanding […]
Flack Global Metals (FGM) adds Jennifer Betts as Sr. Vice President of Business Development. Betts will drive FMG’s business and development strategy to expand the company’s physical metals sales growth as well as its broad range of price risk management services offered Flack Metal Bank (FMB). “Jen brings a wealth of knowledge and experience to […]
Nonresidential and multifamily construction spending slumped in March as supply-chain woes and labor shortages stymied strong project demand, the Associated General Contractors of America (AGC) reported. Spending on most categories of nonresidential and multifamily construction declined from February to March, AGC said, noting that contractors struggled to find enough workers and to get timely deliveries […]
Russel Metals reported solid first-quarter earnings results and record revenue. All three of the Canadian service center’s business segments generated strong operating results, driving net earnings of $98.7 million CAD ($76.9 million USD), down 2.9% sequentially but up more than 22% year-on-year (YoY). Revenue during the first quarter reached $1.34 billion ($1.04 billion), a 51.3% […]
The outlook among purchasing managers surveyed by the Institute for Supply Management remains positive, and US manufacturing continued to grow April – thought at a slower rate. Last month’s Manufacturing PMI edged down to a reading of 55.4% versus 57.1% in March. The index reading above 50% indicates growth in the manufacturing sector. April’s measure […]
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 […]
US manufacturing activity saw a marked improvement in April, expanding at its quickest pace in seven months despite rising inflation, according to the latest data from S&P Global’s purchasing managers survey. The seasonally adjusted S&P Global PMI posted a reading of 59.2 in April, up from 58.8 the month prior, but lower than the earlier released ‘flash’ […]
ArcelorMittal took a big step toward reducing carbon dioxide (CO2) emissions at its long products mill in Contrecoeur, Quebec, by partial replacement of natural gas with green hydrogen. The successful test on the mill’s direct reduced iron (DRI) modules saw 6.8% of natural gas replaced with green hydrogen during a 24-hour period. The outcome contributed to a measurable reduction […]
Friedman Industries has acquired PlatePlus Inc. facilities in East Chicago, Ind., and Granite City, Ill., including real estate, buildings, equipment, inventory, and other assets. The deal between the two service center groups closed on April 30, Friedman said. It includes not only steel inventory but also customer and supplier networks from Plateplus locations in Loudon, Tenn. […]