There was a lot of buzz on the trade front today, from posturing over the next round of NAFTA negotiations to commentary on the 2018 “Economic Report of the President”: • Senate Finance Chairman Orrin Hatch (R-UT) told reporters that Congress will take “veto-proof” action if President Trump attempts to terminate NAFTA, adding that “we […]
Flat rolled steel prices have been on the rise since October. Judging by steel demand, that trend is likely to continue. About 41 percent of all the respondents to last week’s Steel Market Update market trends questionnaire reported improving demand for their products. Another 53 percent said demand remained the same. Only 6 percent felt […]
California Steel Industries (CSI) surprised customers with a whopping $120 per ton price increase on all its flat rolled products on Monday, the same day that its main West Coast competitor USS-POSCO (UPI) informed customers that its April order book is now closed. In its Feb. 26 letter to customers, CSI announced that it’s April […]
Durable goods orders fell 3.7 percent in January to $239.7 billion, according to Commerce Department data. January’s decline follows two months of increases and is the biggest decline since July 2017. Analysts expected a decline of 2.0 percent or less. Durable goods are manufactured items that are expected to last three years or more. The […]
The SMU Steel Summit Conference is THE fastest growing steel conference in North America and THE one conference manufacturing, distribution, suppliers to the industry and steel mills want to attend. Details about the agenda, speakers, location and costs, as well as how to register, can be found on our website: www.SteelMarketUpdate.com/Events/Steel-Summit or you can contact […]
President Trump has made no official announcement about his plans for Section 232, leaving the steel market to speculate on last week’s Commerce Department recommendations. The majority of respondents to this week’s Steel Market Update market trends questionnaire are guessing he will come up with his own solution to combat unfair imports. The Commerce recommendations […]
Ironically, the Department of Defense is among the least enthusiastic about the Section 232 investigations into the impact of steel and aluminum imports on national security. After reviewing a draft of the Section 232 report last year, the DoD determined that trade restrictions proposed by Commerce Secretary Wilbur Ross would “unnecessarily vex U.S. allies.” The […]
Current and future sentiment among flat rolled steel buyers showed a slight dip this month, due in part to the uncertainty over possible government trade action against imports. Viewed as a three-month moving average, however, industry optimism remains near record highs, according to the latest Steel Market Update Steel Buyers Sentiment Index. The index measures […]
A majority of metalforming companies surveyed in the February Precision Metalforming Association Business Conditions Report expect improvement in economic activity during the next three months. The latest report showed 97 percent anticipate better conditions going forward. “The Trump administration has shown strong leadership on important policy initiatives like tax reform and infrastructure, which give confidence […]
International trading companies are reacting to the report released by Department of Commerce Secretary Wilbur Ross recommending three options to protect the U.S. steel industry based on national security concerns. As we speak with trading companies here at the Port of Tampa Steel Conference, as well as traders located around the country, we are finding […]
The possible forthcoming Section 232 decisions on steel and aluminum imports have alarmed nations across the globe. Commerce Secretary Wilbur Ross said he “wouldn’t be surprised if there were retaliations to the measures,” but perhaps he underestimated the negative response to his recommendations. Numerous countries have expressed concern for their own domestic markets, while others […]
The American Institute for International Steel, which represents foreign steelmakers, called the Commerce Department’s recommendations in the Section 232 report on steel imports “excessive and unnecessary” and warned of global retaliation that would push the U.S. and world toward a recession. AIIS Board Chairman John Foster issued the following statement on Monday: “The recommendations in […]
The Commerce Department has found that unfair imports of steel products do indeed pose a threat to U.S. national security, and in a press conference on Friday revealed the remedies it has recommended to President Trump. The announcement of possible tariffs and quotas drew strong reactions from the marketplace. The Commerce recommendations include three options […]
Editor’s note: In this letter to the editor, former International Trade Commission Chairman Daniel Pearson comments on the Commerce Department’s Section 232 recommendations released on Friday. Thanks to Steel Market Update for sharing the DOC’s distressing recommendations. All of them look to me as if they would tighten supplies and raise prices significantly. The United States already […]
Reaction by American trade associations and producers to Friday’s Commerce Department recommendations on Section 232 was mostly favorable and encouraged swift action. The Steel Manufacturers Association applauded the recommendations laid out by Secretary Wilbur Ross in the Section 232 steel report: “Secretary Ross has accurately concluded that steel imports threaten to impair our national security […]
Recommendations from the U.S. Commerce Department calling for potential tariffs and quotas on steel and aluminum imports under Section 232 elicited a strong global reaction including trepidation, anger and threats of retaliation. Commerce Secretary Wilbur Ross said during a conference call Friday he wouldn’t be surprised if there were retaliations to the measures, adding that […]
Last week ended with a bang. Steel Market Update received an invitation to participate in a press conference as Department of Commerce Secretary Wilbur Ross told the world that the DOC had found that imports of foreign steel negatively impact the steel and aluminum industries, which are necessary in the United States for national security […]
Manufacturing activity continued to expand in New York State, but at a slower pace in February. The Empire State Manufacturing Survey general business index dipped five points to 13.1. A slight increase in new orders was offset by a similar decrease in shipments. Unfilled orders increased slightly and delivery times lengthened. Input prices jumped in […]
It appears that the market is being set for the next round of flat rolled price increases. With benchmark hot rolled averaging $745 per ton, which is essentially at the levels suggested by ArcelorMittal USA in their last announcement, then there is nothing to stop another increase. I heard from a buyer earlier this week […]
At a meeting with lawmakers this morning, President Donald Trump said imposing tariffs is an option for stopping the dumping of steel and aluminum into the U.S. “I want to keep prices down, but I want to make sure that we have a steel industry,” said Trump, according to a Bloomberg report. “Part of the […]
Distributors of galvanized steel products to the HVAC industry are concerned that steel prices could experience a correction once President Trump finally announces his decision on Section 232. “I fear that a lot of 232 is already built into the pricing, and if the [trade action] is less than people were expecting, we could see […]
Fifteen trade associations, representing more than 30,000 U.S. steel-using manufacturers and employing one million American workers, sent a letter to President Trump and other senior trade officials last night in advance of the meeting between the administration and legislators regarding Section 232. The letter warns that restrictions on basic steel imports will “adversely impact national […]
Fifteen trade associations, representing more than 30,000 U.S. steel-using manufacturers and employing one million American workers, sent a letter to President Trump and other senior trade officials last night in advance of the meeting between the administration and lawmakers regarding Section 232. The letter warns that restrictions on basic steel imports will “adversely impact national […]
The release of President Trump’s infrastructure plan drew mixed responses from trade groups involved with the steel industry. Although all support the much-needed infrastructure work, several question the president’s plan to fund it. Thomas J. Gibson, president and CEO of the American Iron and Steel Institute supported the streamlining of permits proposed in the plan. […]
The employment picture looks attractive so far for 2018, particularly for construction and manufacturing. The Bureau of Labor Statistics (BLS) reported on Friday that the economy created 200,000 new nonfarm jobs in January. The BLS data included revisions for previous years, which we have incorporated into this update. There were increases in the total number […]
Both manufacturing companies and flat rolled steel service centers reported near unanimous support for higher spot pricing. In the process, it is Steel Market Update’s opinion the higher flat rolled and plate spot prices provided by the distributors also support the most recent steel price increase announcements by the flat rolled steel mills. Last week, […]
The American Institute for International Steel, which represents foreign steel producers, sent a letter to President Trump on Thursday on behalf of the 1.3 million people who depend on steel imports for their livelihoods. AIIS President Richard Chriss urged the administration not to impose new tariffs and quotas on imported steel products that would benefit […]
Steel Market Update has been pulling out all of the stops as we prepare to host the fastest growing and the largest steel conference in North America at the end of August. This year’s SMU Steel Summit Conference is expected to attract 750+ executives in manufacturing, service centers, steel mills, trading companies, toll processors and […]
Steel Market Update has been pulling out all of the stops as we prepare to host the fastest growing and the largest steel conference in North America at the end of August. This year’s SMU Steel Summit Conference is expected to attract 750+ executives in manufacturing, steel service centers, steel mills, steel trading companies, toll […]
Editor’s note: Richard Chriss, president of the American Institute for International Steel, which represents foreign steelmakers, offered this rebuttal to a recent letter to the editor in the New York Times by Scott Paul, president of the Alliance for American Manufacturing: There is no single word for the economic fallacy of assuming that those who […]