The U.S. and the EU have agreed to “resolve tensions” stemming from Section 232 by year end–but that doesn’t mean the national security tariffs will be lifted anytime soon, the head of the American Iron and Steel Institute (AISI) said. “I don’t see anything happening before the end of this year. This is a complicated […]
The spread between foreign and domestic steel prices has changed direction again since our last update, according to our latest foreign versus domestic hot rolled steel price comparison. The price differentials (after taking freight costs, trader margins and tariffs into consideration) between domestic HRC and foreign imports had surged from February to March of this year, reaching record […]
Steel prices will turn lower and quickly fall back in the next 6-12 months, but mill profitability will remain substantial, predicted Principal Analyst Josh Spoores during CRU’s virtual New York Steel Seminar on Wednesday. Steel prices have hit historic highs, with hot rolled offers at more than $1,700 per ton, as demand continues to outstrip supply. […]
April apparent steel supply declined 189,000 tons from March’s high to 8.77 million net tons, according to the latest U.S. Department of Commerce and American Iron and Steel Institute data. This is the second highest suppy level seen since January 2020, just behind the March 2021 high. April supply is up 2.24 million tons compared […]
The White House has confirmed that the United States and the European Union are in discussions to resolve “existing differences” on Section 232 tariffs on steel and aluminum from the EU before the end of the year. “We are determined to work together to resolve tensions arising from the U.S. application of tariffs on imports […]
The Art of Forecasting… This week I saw another milestone drop that I never thought I would live to see. Galvanized base pricing out of a domestic mill at $100.00/cwt (seems like there is an extra digit there for some reason). I go back far enough to remember galvanized steel prices around $10.00/cwt…. For the […]
The Art of Forecasting… This week I saw another milestone drop that I never thought I would live to see. Galvanized base pricing out of a domestic mill at $100.00/cwt (seems like there is an extra digit there for some reason). I go back far enough to remember galvanized steel prices around $10.00/cwt…. For the […]
Flat Rolled = 45.3 Shipping Days of Supply Plate = 45.2 Shipping Days of Supply Flat Rolled U.S. service center flat rolled inventories grew significantly in May as mills caught up on deliveries and intake increased. At the end of May, service centers carried 45.3 shipping days of supply on an adjusted basis, up from […]
SMU’s Community Chat webinar with Bank of America metals and mining analyst Timna Tanners last week was our second-best attended ever. Barry Zekelman, executive chairman and CEO of Zekelman Industries, still holds the title. But Tanners gave him a run for his money. We received more questions during the webinar than we were able to […]
By Greg Wittbecker, Advisor, CRU Analysis We have just refreshed our expectations on aluminum for 2021 in our latest of the CRU Aluminum Market Outlook. Here are some of the key takeaways: Demand Is Strong The World ex China is into its recovery from the the Covid-19 pandemic. We expect to see sharp year-on-year growth […]
By Greg Wittbecker, Advisor, CRU Analysis Ten years ago the aluminum can, and the aluminum sheet mills that supplied them, looked to be on borrowed time. Aluminum beverage can shipments, as reported by the Can Manufacturers Institute (CMI) had been flatlining for years. Can manufacturers were consolidating, with Ball and Ardagh acquiring Rexam assets in […]
By CRU Principal Aluminum Analyst Guillaume Osouf The LME aluminum price has been going through a period of consolidation since it reached its last significant peak at $2,603 /t on May 10. A similar situation was observed between December 2020 and February 2021 before the rally resumed even stronger. Can we expect the same to […]
By Greg Wittbecker, Advisor, CRU Analysis The COVID-19 pandemic’s effects on overall aluminum demand in 2020 was well documented. However, that storyline masked a remarkable rebound in the demand for aluminum beverage cans. Data from the Aluminum Association shows this: • 2020 total domestic shipments of can stock supplied to the can market rose 3.3% […]
By CRU Senior Analyst Ryan McKinley, from CRU’s Steel Sheet Products Monitor Sheet prices in northern Europe, like in other areas of the world, have begun to decline – although prices in the USA have yet to follow this trend. Still, it appears that this upward trend in the U.S. market is nearing an end. […]
I asked a good friend of mine after he was appointed to as the deputy head of a cabinet department what a typical day was like for him. “It’s drinking water from a fire hose. Things come at you so fast you can’t get out of the way,” he said. As an observer and occasional […]
I asked a good friend of mine after he was appointed to as the deputy head of a cabinet department what a typical day was like for him. “It’s drinking water from a fire hose. Things come at you so fast you can’t get out of the way,” he said. As an observer and occasional […]
This report examines the import share of tubular and long products shipments. Imports’ share of total tubular products rose to 46.6% in April, up from 46.2% in March. Both domestic shipments (-7.0%) and imports of tubular products (-5.8%) fell month on month, yet domestic shipments edged down at a stronger clip when compared to March. […]
This report examines the import share of sheet and plate products. Imports’ share of total sheet product shipments was 12.5% in April, down from 12.7% in March. By comparison, the import share of total plate product shipments jumped to 19.9% in April, up from 15.7% the month prior. Import share for sheet products has dipped […]
A deadline has been set by the European Union and the U.S. to end Section 232 steel and aluminum tariffs, and any retaliatory measures, by Dec. 1, according to a draft communiqué obtained by Reuters. An announcement of the agreement is expected at the G7 Summit next week in Brussels. “We commit to work towards […]
Infrastructure, Energy, Wind Farms, Tanners, Summit Conference, Imports. If you are watching the news, you are aware of the Biden administration’s push for a large (at least $1 trillion) infrastructure bill. There is a lot of discussion about what infrastructure entails in light of the current economy. It’s not your father’s economy. There is need […]
JSW Steel (USA) and JSW Ohio are accusing Nucor, U.S. Steel and Cleveland Cliffs of conspiring to boycott and deny critical semi-finished steel slab to the company. A lawsuit filed on June 8 alleges that the three steel giants have formed a cartel that has cost JSW millions of dollars in lost profit. According to […]
Final Census data shows that total foreign steel imports indeed rose 14% from March to April to 2.64 million tons, rising just 5,000 tons from the preliminary levels SMU reported last week. This is the highest total monthly import level seen since July 2020 when imports were 2.71 million tons. Import licenses currently for May have risen […]
The U.S. International Trade Commission voted to continue antidumping orders on imports of cut-to-length carbon steel plate from China, Russia and Ukraine. Removing the orders, said the Commission in its sunset review, would “likely lead to continuation of recurrence of material injury within a reasonably foreseeable time.” The original investigation into CTL steel plate imports […]
I want to thank the National Association of Steel Pipe Distributors for giving me a chance to open their summer conference in Denver last week. I spoke about – what else, these days – steel prices. During the Q&A afterward and on the sidelines of the event, it was clear people were worried about (a) […]
I want to thank the National Association of Steel Pipe Distributors for giving me a chance to open their summer conference in Denver last week. I spoke about – what else, these days – steel prices. During the Q&A afterward and on the sidelines of the event, it was clear people were worried about (a) […]
Foreign steel imports from two of the three regions tracked by Steel Market Update are losing their price advantage over domestic steel, according to our latest foreign versus domestic hot rolled steel price comparison. The price differentials between domestic HRC compared to foreign imports had surged through February and March to reach record highs in […]
U.S. gross domestic product (GDP) grew by 6.4% in the first quarter of 2021 on an annualized basis, according to the second estimate from the Bureau of Economic Analysis (BEA). The second estimate saw no change in overall GDP compared to the advance estimate; however, upward revisions to consumer spending and nonresidential fixed investment were […]
Preliminary Census data shows that total foreign steel imports rose 14% from March to April, up to 2.64 million tons, as U.S. buyers sought relief from climbing domestic prices and limited supplies. This is the highest total monthly import level seen since July 2020 when imports were 2.71 million tons. Import licenses currently for May are at 2.52 million tons, down 4% from […]
New orders, production and employment picked up in May despite slower supplier deliveries and lengthening backlogs, said the Institute for Supply Management in the May 2021 Manufacturing ISM Report on Business. The Manufacturing PMI rose 0.5 percentage point to 61.2 after contracting in April and indicates expansion for the overall economy. “Manufacturing performed well for the […]
The U.S. steel industry stands to benefit in a big way should the government put a price on carbon emissions, according to a study by CRU, Steel Market Update’s parent company. CRU examined the potential impact of a standard fee on carbon emissions and an equivalent border carbon adjustment (BCA) and found that such policies could […]