Worthington Industries faced a challenging quarter as stay-at-home orders and closure of nonessential businesses impacted the markets it serves. Demand levels fluctuated depending on the market with company conditions normal in March, break even in April and profitable in May, albeit at lower levels. Although the economic outlook is still unclear, Worthington expects a return to […]
By CRU Prices Analyst George Pearson, from CRU’s Steel Monitor Steel sheet prices in the U.S. Midwest market were mixed this week with slight declines for both HR and HDG coil, while CR coil was slightly higher. Market contacts have noted that markets are weakening as demand has not come about as previously expected. Lead […]
Kate Mitchell joins the leadership team of Majestic Steel USA as executive vice president and chief marketing officer. Cleveland-based Majestic is a privately held distributor and processor of flat-rolled steel serving customers in manufacturing, construction and distribution throughout North America. Reporting to Majestic CEO Todd Leebow, Mitchell will oversee brand marketing and corporate communications, as well […]
By CRU Senior Analyst Helen O’Cleary, from CRU’s Zinc Monitor U.S. industrial production increased by only 1.4 percent in May, well short of expectations, but market sentiment is generally positive as the Fed has confirmed it will do “whatever it takes for as long as it takes” to help get the economy back on track […]
Sales of new and existing homes reflect different impacts of the COVID-19 crisis, but analysts expect both categories to contribute to a rebound for the economy. New Home Sales Rise in May New home sales rose 16.6 percent in May to a seasonally adjusted annual rate of 676,000 and were 12.7 percent higher than a […]
The Ports of Indiana has been awarded a Marine Highway Grant by the U.S. Department of Transportation’s Maritime Administration to develop a steel barge shuttle with Nucor Steel at its Jeffersonville port. The project will allow barge shipments of steel coils from Ghent, Ky., to the Port of Indiana-Jeffersonville. The $778,766 project includes the construction […]
By CRU Prices Analyst Estelle Tran, from CRU’s Global Steel Trade Service U.S. automaker restarts in May drove an increase in steel demand and helped to prop up sheet prices. There is concern, however, over whether there is enough new demand to support mills restarting or if manufacturers are mainly managing pent-up demand. We’ve heard […]
The House Transportation and Infrastructure Committee gave its approval to the INVEST in America Act on Friday, moving forward a measure that would fund much needed infrastructure work, create thousands of jobs and help the economy recover from the effects of the coronavirus pandemic. The measure is widely supported by the steel industry, as construction […]
Steel Dynamics expects its second-quarter earnings to be significantly lower than first-quarter results. Adjusted earnings per diluted share are expected to be in the range of $0.40 to $0.44, well below $0.88 per share reported in Q1. The decline in earnings is due to lower steel demand and selling prices attributed to the temporary closures […]
Construction employment rebounded in May in 45 states and D.C., according to an analysis of government data by the Associated General Contractors of America. The jump in employment follows the loss of nearly one million jobs in April, but may be short-lived, said AGC officials. “The widespread uptick in construction employment in May is welcome […]
Nucor is guiding to better-than-expected second-quarter earnings in the range of $0.10 to $0.15 per diluted share. First-quarter earnings were $0.07 per diluted share and included asset losses related to the mill’s equity method investment in Italy. Nucor’s downstream steel products segment remained strong during the quarter due to resilient demand in nonresidential construction. COVID-19 […]
Commercial Metals Co. navigated through third quarter FY 2020 pandemic challenges with almost no disruption to operations or loss of productivity, achieving net sales of $1.34 billion and earnings of $64.2 million Barbara Smith, chairman of the board, president and CEO, commented, “While the effects of the COVID-19 crisis impacted our business throughout the third […]
Big River Steel (BRS) expects to complete its capacity expansion by the end of this year more than two months ahead of expectations. The mill in Osceola, Ark., is in the process of doubling its annual steel production capacity from 1.65 million to 3.3 million tons. BRS began operations at its $1.3 billion scrap metal […]
Construction activity is returning to pre-coronavirus levels in many parts of the country and some firms are adding workers, report the Associated General Contractors of America and construction technology firm Procore, based on just-completed research. The new economic data, however, also shows some future projects are being canceled and many others are being delayed by […]
From a steel buyer’s perspective, the environment is relatively competitive now. Mills and service centers are hungry for business, said Donald Bly, managing director of Applied Value, during Wednesday’s SMU Community Chat Webinar. Mill capacity utilization is down to about 53 percent, but still better than the 2008-2009 recession, he said. “It’s a good time […]
Housing starts rose 4.3 percent in May to a seasonally adjusted annual rate of 974,000. Starts were 23.2 percent below the May 2019 rate of 1.27 million. Single-family starts were flat, increasing just 0.1 percent last month. Construction of housing with five units or more, however, jumped 16.9 percent. Regionally and on a year-over-year basis, […]
The term “sustainability” is most often associated with environmentalism. True to the word, U.S. Steel’s 2019 Sustainability Report details the steelmaker’s mission to reduce its global greenhouse gas (GHG) emission intensity by 20 percent over the next decade. But what makes a company’s success “sustainable” over the long term goes far beyond environmental considerations, said […]
By CRU Senior Analyst Erik Hedborg, from CRU’s Steelmaking Raw Materials Monitor Iron ore prices held steady in the past week as Chinese demand remained robust while seaborne supply registered another strong week. After struggling for most of 2020, shipments from Vale’s Northern System reached the highest level of the year in the past week. […]
Flat Rolled = 67.6 Shipping Days of Supply Plate = 61.0 Shipping Days of Supply Flat Rolled Service center flat roll inventories edged down in May, which was consistent with lower on-order volumes seen in April as well as higher shipments in May. Service centers carried 67.6 shipping days of supply at the end of […]
Steel buyers’ attitudes, as measured by Steel Market Update’s Sentiment Indexes, have improved steadily since their low point in the first week of April and are now approaching pre-coronavirus levels once again. Industry executives are clearly feeling more positive about their prospects as the economy begins to normalize. Current Sentiment has improved by 40 points […]
Steel demand is on the upswing three months after being decimated by government orders to shut down nonessential businesses and stop the spread of COVID-19. The majority of steel buyers (53 percent) responding to Steel Market update’s market trends questionnaire this past week said they are seeing improvement in demand for their products. Another 38 […]
Trade attorney and Steel Market Update contributor Lewis Leibowitz offers the following update on events in Washington: Section 232 keeps cropping up in the news; this week, it’s no different. In 2017, the Commerce Department initiated several investigations (on steel, aluminum, autos and auto parts, and uranium). Trade restrictions ensued on steel and aluminum, but […]
By CRU Prices Analyst George Pearson, from CRU’s Steel Monitor In the U.S. Midwest market this week, sheet prices were somewhat mixed with HR coil near steady w/w while HDG coil fell by $19 /s.ton to $650 /s.ton and CR coil inched up by $4 /s.ton to $697 /s.ton. Our full HDG coil price, reflecting […]
Markets are vastly improved from where they were two months ago, said James Banker, Executive Vice President of NLMK USA, during Steel Market Update’s Community Chat on Wednesday. Conditions seem good, mostly because they are coming off a “really awful period,” he said. NLMK USA relies on its customers for information about the market, and […]
By CRU Senior Analyst Ryan McKinley, from CRU’s Metallics Monitor The CRU metallics price indicator (CRUmpi) increased slightly in June, rising by 2.9 percent m/m to 208.3. The reduction in lockdowns and other Covid-19-related restrictions across the globe allowed scrap to become more readily available as demand increased in major importing markets. In the near term, we […]
Cargo shipments on the Great Lakes and St. Lawrence Seaway were impacted during the coronavirus pandemic, with ports seeing lower volumes. Tonnage on the St. Lawrence Seaway was down 10 percent year over year in the period from March 15 through May 31 to 7.7 million metric tons, said the Marine Chamber of Commerce. “Road […]
Cleveland-Cliffs will resume construction on its Hot-Briquetted Iron plant in Toledo earlier than expected. Construction was halted on March 20, 2020, due to the pandemic, but will resume with newly implemented safety measures. Cleveland-Cliffs plans to complete the HBI facility during the fourth quarter of this year. The Tilden mine that supplies AK Steel Middletown […]
By CRU Senior Analyst Erik Hedborg, from CRU’s Steelmaking Raw Materials Monitor The suspension of iron ore production at Vale’s Itabira Complex resulted in prices surging after the weekend. On Tuesday, June 9, CRU has assessed the 62% Fe fines price at $105.0 /dmt, up $4.5 /dmt w/w. In China, demand has remained robust as […]
The World Steel Association (worldsteel) expects steel demand to contract by 5.4 percent in 2020 to 1.654 billion metric tons. The latest Short Range Outlook forecasts a recovery to 1.717 billion tons in 2021, a 3.8 percent increase over this year. Commenting on the outlook, Chairman of the worldsteel Economics Committee Al Remeithi said: “The […]
Construction employment declined in nine out of ten metro areas from March to April, during a season when the industry normally sees employment levels climb, said the Associated General Contractors of America in an analysis of new government data. “Today’s employment report shows how few areas were left unscathed by April’s unprecedented job losses,” said […]