February came in with a bang and went out with one too. We saw two rounds of $50-per-ton sheet price increases early in the month. Then one of $100 per ton. And finally Cleveland-Cliffs came in near the buzzer on Monday with another $100-per-ton price hike. We think that was the last shot of the […]
The Biden administration has hit Russian pig iron as well as other steel and metal products with tariffs of up to 70%. The move was made with less fanfare than the 200% tariffs on Russian aluminum announced in a presidential proclamation last week. The tariffs were included in an annex attached to that proclamation. The […]
Sometimes it’s hard to know who your friends are. What starts offs as a simple disagreement escalates. Things can soon spin out of control. And that’s just for people. When dealing with nation states like the US and Mexico, things get a bit more complex, and the stakes a whole lot higher. At the beginning […]
On the morning of Feb. 24, the White House issued a proclamation to adjust aluminum imports and taking further action under Section 232 of the Trade Expansion Act of 1962. Following the guidance of the Secretary of Commerce, the president issued an order adding a 200% duty to Russian metal coming into the US. Imported […]
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! […]
Domestic hot-rolled coil (HRC) lost its competitive price advantage over imported steel, ending a 16-week run. The turn came as domestic mills continue to drive prices up at a faster clip than mills overseas, according to Steel Market Update’s latest foreign vs. domestic price analysis. US HRC is approximately 3% more expensive than foreign prices […]
Imported sheet and plate products’ arrival at US ports declined in December, leading their share of the US markets to edge lower, while domestic shipments gained ground during the month. That’s according to a Steel Market Update analysis of import data from the US Commerce Department and domestic shipment figures from the American Iron and […]
Total US mill shipments of steel products declined in December, easing for the second straight month after fluctuating up and down for much of the year. December was the lowest mill shipment total for 2022, falling to the lowest total since February 2021. Shipments totaled 7.27 million tons in December, a 1% decrease from November’s 7.34 […]
Sheet prices are up again. By a lot. For the third time this month. And it’s not over yet! Nucor alone is up more since Thanksgiving ($310/per ton) than they were after the invasion of Ukraine ($275/ton), according to our price increase calendar. We had obvious drivers for the last two big rallies. The snapback […]
Thirteen US senators from both major political parties wrote to top trade officials last week requesting that Section 232 tariffs be reinstated on some Mexican steel products, notably steel conduit. “In recent months, it has become clear that Mexican steel imports ‘now exceed historic volumes of trade’ and are ‘surg[ing] meaningfully” into our market,” the […]
Sheet prices continue to push higher even as buyers contacted by Steel Market Update remain divided about the state of demand. Hot-rolled coil lead times now stand at 5.41 weeks, up from 4.94 weeks in our prior survey and marking the first time this year that HRC lead times have broken out significantly above five […]
Should there be limits on the power of the US Commerce Department under the antidumping laws to impose punitive and potentially prohibitive duties on imports? Last week, the Court of International Trade (CIT) placed some limits on Commerce to do so. The CIT rejected punitive duties in an antidumping investigation of utility-scale (i.e., big) wind towers from […]
As US sheet prices continue the rally that began in late November, overall import levels remain relatively low. But lead times have extended and so too have mill asking prices. US mills are now asking for $900 per short ton ($45 per cwt) for hot-rolled coil. Market contacts in Europe note that exports from India […]
There is still a debate on whether the US will enter into a recession during 2023. The beginning of the year has been slower, but overall end-use demand has been holding up relatively well. The mid-part of the year, Q2-Q3, is where most forecasts peg a downturn. Therefore, perhaps the largest challenges are still looming. […]
Inflation indeed! Hot-rolled (HR) spot indexes have risen about $40 per short ton (ST) since the beginning of February. HR futures settlements for the period between Feb. 1 and Feb. 16 also reflect rising prices. The average weighted price for Q2’23 is up over $108/ST to $902/ST; Q3’23 up $65/ST to $853/ST; and Q4’23 up […]
Domestic hot-rolled coil (HRC) kept its competitive price advantage over imported steel – now on a 16-week run. However, it has continued to lose momentum over the past four weeks, according to Steel Market Update’s latest foreign vs. domestic price analysis. US HRC is approximately 2.2% cheaper than foreign prices this week, down from 3.4% […]
The “new normal,” we have heard that a whole lot since the pandemic took hold. Are we really seeing a paradigm shift? Or is it just a trendy phrase? But, first, let’s talk about price hikes. If three’s a crowd, then what’s five – a herd? The week got off to a quick start early […]
Sheet prices rose again this week as a blitz of $50-per-ton ($2.50/cwt) price hikes spurred the market higher. Steel Market Update’s hot-rolled coil price now stands at $825 per ton, up $15 per ton from last week and nearing the highest levels we’ve seen since late July. The difference: HRC prices were on their way […]
US apparent steel supply rose 2% in December to 8.2 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 […]
The Covid-19-related shutdowns and subsequent supply chain disruptions emphasized the importance of onshoring. Geopolitical uncertainty, the war in Ukraine, and recent sovereign security issues, have added to global supply chain concerns. In the US, new legislation, the IRA, USMCA, and Build Back Better have focused on securing and bolstering North American manufacturing conditions. The task […]
Preliminary Census data indicate that steel imports will have totaled 2.48 million net tons for the month of January. While up nearly 13% from the prior month, January levels are still down more than 3% compared to the previous 12-month average. Recall that monthly import levels declined nearly 17% month on month (MoM) in November, […]
Editor’s note: SMU Contributor Michael D’Angelo is a researcher and trader at Marex. In his role, Mike performs fundamental and quantitative analysis, which directly leads to actionable trading/risk management strategies across the base, precious, and ferrous metals derivative spaces. Prior to joining Marex, Mike received a BA in economics with a minor in finance from […]
By CRU Senior Analyst Thais Terzian, Analyst Anton Perevezentsev, and Research Analyst Rosy Finlayson On February 6-7, a series of devastating earthquakes struck several provinces in southeastern Turkey and northwestern Syria, leaving thousands dead and many injured. The quakes also resulted in a massive destruction to the infrastructure of both countries. The first quake measured […]
Ternium Mexico president César A. Jiménez sees the company’s investment in Pesquería, outside of Monterrey, as an opportunity to replace imports with steel produced in Mexico. Jiménez sat down with SMU managing editor Michael Cowden at SMU’s Tampa Steel Conference for a Fireside Chat. Beyond Pesquería, he gave his thoughts on a range of topics, […]
Domestic hot-rolled coil (HRC) continues its competitive price advantage run over imported steel – now 15 weeks running – though it did lose some momentum week on week (WoW), according to Steel Market Update’s latest foreign vs. domestic price analysis. US HRC is approximately 3.2% cheaper than foreign prices this week, down from 7.4% last […]
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! […]
The outbreak of war in Ukraine triggered an energy crisis in Europe. Gas and consequently electricity prices soared and remain high. European production of commodities such as ammonia, aluminum, and zinc which require significant energy and/or natural gas were and remain disrupted to differing degrees. Natural gas is supposed to be a ‘transition fuel’ in […]
The US long products market was largely stable this month, as end-use demand remained subdued, and buyers continued to work through inventories. Scrap prices rose in January, fuelling bullish sentiments, but sluggish activity limited any expansion in margins. As a result, rebar, merchant bar, and structurals were all flat month-on-month (MoM). Wire rod prices decreased […]
Now that the new year is one-twelfth over, the changes from last year are taking shape. In foreign policy and trade, a primary focus has changed from economics to geopolitics. Trade between the West and China, which has been the key metric for the last 20 years, has tapered off, although it remains strong. Trade […]
Domestic hot-rolled coil (HRC) kept its competitive price advantage run over imported steel – now 14 weeks running – though it did lose momentum week on week (WoW), according to Steel Market Update’s latest foreign vs. domestic price analysis. US HRC is approximately 7% cheaper than foreign prices this week, down slightly from 8% last […]