This morning, World Trade Online reported Brazil as “pushing back on Section 232 quota deal with the U.S.” I did some research on my own to see if traders associated with Brazil, Argentina or other markets that may have verbal agreements with the Trump administration regarding quotas were having issues due to negotiations with the […]
Steel Market Update canvassed the market on May 22 to gather steel executives’ views on supply, demand and pricing in the current environment. Some also shared their thoughts on their biggest challenges today. Below are some of their more insightful comments: Q: Are you seeing any signs that steel prices are going to “break out” […]
Lewis Leibowitz, trade attorney and contributor to Steel Market Update, offers the following update on trade issues in Washington: Greetings from the West Coast. I just attended the National Association of Foreign Trade Zones Spring conference. Foreign trade zones have been targeted by the Trump administration in the tariff proclamations, including the Section 232 tariffs on steel […]
Marking a win for U.S. steelmakers, the Commerce Department on Monday officially slapped duties on corrosion-resistant steel (CORE) and certain cold rolled steel products imported from Vietnam that were produced from substrate originating in China. Commerce determined that even though the products underwent some processing in Vietnam, they should still be subject to the same […]
Marking a win for U.S. steelmakers, the Commerce Department on Monday officially slapped duties on corrosion-resistant steel (CORE) and certain cold rolled steel products imported from Vietnam that were produced from substrate originating in China. Commerce determined that even though the products underwent some processing in Vietnam, they should still be subject to the same […]
Metal manufacturers and users are calling the Section 232 product exclusion process “onerous” and “chaotic.” The Coalition of American Metal Manufacturers and Users expressed their concern about the tariff exclusion process in a letter to Secretary of Commerce Wilbur Ross on May 18. More than 8,200 exclusion requests have been filed with Commerce with no […]
Steel demand has remained surprisingly strong in 2018, even as prices have escalated and trade disputes have made purchasing riskier. But Steel Market Update data suggests that demand may be weakening. SMU canvasses the flat rolled steel market every two weeks. A clear majority (62 percent) of the respondents to the May 14 questionnaire indicated […]
Lewis Leibowitz, a trade attorney and contributor to Steel Market Update, offers the following update on trade issues in Washington affecting the steel industry: • Section 301 Hearing on Proposed Tariffs: On May 16, the U.S. Trade Representative’s office will kick off three days of hearings on the proposed Section 301 tariffs on China announced […]
Steel prices are way up and likely to move even higher given events on the trade front. But, so far, they have not hurt demand in the HVAC sector, reported members of the Heating, Air-conditioning and Refrigeration Distributors International (HARDI) on Tuesday during the trade association’s monthly steel conference call. John Packard, publisher of Steel […]
Demand remains strong in the HVAC sector despite the high steel prices, but distributors share an uncomfortable feeling that the favorable conditions may not last. “Business is good, and prices are high, but they are going to fall. When is anyone’s guess. You just have to try to protect yourself and have the least amount […]
Tinplate steel manufacturers received the backing of a bipartisan group of House members who urged the administration to exclude steel used for can manufacturing from Section 232 tariffs. In a letter dated May 10, Congress members implored Commerce Secretary Wilbur Ross not to impose 25 percent tariffs on steel used exclusively for can manufacturing, citing […]
I am in Miami (South Beach) for a Bank of America Merrill Lynch conference. A little different than I am used to, but I guess the insights that Lewis Leibowitz and I bring on the market may help investors. I will be back in my office sometime late on Wednesday afternoon. The questions that Lewis […]
ArcelorMittal NAFTA posted sales of $4.8 billion for the first quarter of 2018, up 10.6 percent sequentially. Steel shipments increased 4.8 percent from the fourth quarter to 5.9 million metric tons driven by higher volume of flat products due to improved market fundamentals. Average selling price increased 3.5 percent for flat products and 9.1 percent […]
Manufacturers and fabricators report that business is good, but it’s certainly not easy. Steel Market Update has recruited a dynamic group of executives who will explore topics ranging from trade and tariffs to automation and logistics on Wednesday, Aug. 29, at SMU’s Steel Summit Conference in Atlanta. The title of their panel is Manufacturing Forecast: […]
The California Energy Commission voted unanimously last week to require solar panels for new homes beginning in 2020. Included in the plan are new single-family homes, condos and apartment buildings up to three stories high. “Homes under the (new) standards will use about 50 percent less energy than those under the previous 2016 standards,” said […]
In a bipartisan letter to Commerce Secretary Wilbur Ross on Monday, 39 members of the House argued that the process for reviewing Section 232 tariff exclusion requests is moving far too slowly. They urged Commerce to streamline the process and provide certainty and relief to the thousands of small businesses impacted by the tariffs. Commerce […]
Thailand was granted a tariff exemption for steel pipe exports to the United States, but only on a shipment basis, said Wanchai Varavithya, deputy director-general of the Commerce Ministry’s Foreign Trade Department. Said Wanchai, “Although the U.S. Department of Commerce has yet to grant a waiver on import tariffs for all shipments from Thailand, exporters […]
Flat rolled and plate steel prices were mixed in what has to be considered yet another quiet week for pricing. Steel buyers have mixed feelings as to where steel prices go from here, with some believing prices have no place to go but up and others looking at the HRC futures market (which is backwardated) […]
SMU’s flat rolled steel Price Momentum Indicator is currently pointing at Neutral meaning sheet steel prices are in transition or have hit a lull. A Neutral reading does not mean flat rolled steel prices will automatically move lower from here just because the previous indication was for higher prices. The injection of the U.S. government […]
Ferrous scrap prices have declined a bit in May, reported Steel Market Update sources, due to weakness in the export market and warmer spring weather that aided scrap collection and boosted supplies. Looking ahead to June, sources expect further change, but they disagree on the degree and direction. In the Ohio Valley, prices declined, but […]
Members of Congress have asked the Commerce Department to clarify and improve the process by which manufacturers apply for exclusions from Section 232 tariffs for raw materials required to produce their products. The following is a statement from the Coalition of American Metal Manufacturers and Users commending the action and expressing concern over the use […]
Total rolled steel product imports in April were the highest since last June and semi-finished imports were the highest since October 2014 as offshore mills hurried to ship steel ahead of the tariffs that were expected to take effect May 1. Total rolled steel product imports in April were up by 17.0 percent from March’s […]
Since November 2008 Steel Market Update has been measuring how buyers and sellers of flat rolled steel felt about their company’s ability to be successful in both the existing (current) as well as future (3-6 months into the future) market conditions. The result is our nationally known SMU Steel Buyers Sentiment Index which we believe […]
Trade attorney Lewis Leibowitz has been gracious in offering our readers his take on trade issues on almost a daily basis. With the wide variety of trade issues confronting U.S. companies it is very difficult to stay on top of those that might affect your company, either today (such as Section 232 tariffs, AD/CVD duties) […]
Trade attorney Lewis E. Leibowitz has been providing updates on the Section 232 tariffs, product exclusions and country exclusions on almost a daily basis over the past couple of weeks. We have been sharing his thoughts with our readers as many of you are (or will be) impacted by the existence of tariffs and/or quotas. […]
Argentina and South Korea will be exempt from Section 232 tariffs in exchange for agreeing to quotas on steel and aluminum products. Argentina’s steel quota will be 135 percent of the average of Argentine steel exports during the past three years. The quota will allow the import of about 180,000 tons of steel per year […]
Brazil says it will agree to quotas on finished and semi-finished steel exports to the U.S. in return for exemption from the 25 percent Section 232 tariffs, according to Inside U.S. Trade. Brazil is the latest country to capitulate to U.S. demands, agreeing to a quota of 70 percent of its three-year average exports of […]
Ryerson Holding Corp. reported an exceptional first quarter with net income of $10.4 million and revenue of $942.3 million. First-quarter revenue improved 16.1 percent over fourth quarter due to higher volume, seasonal improvement, and higher average selling price. Ryerson shipments totaled 526,000 tons for the quarter at an average selling price of $1,790 per ton. […]
Olympic Steel reported that net sales jumped 12 percent year-over-year to $335 million in first quarter after all three of its operating segments reported double-digit growth. “Accelerating shipments and rising prices throughout the first quarter resulted in our highest operating income in any quarter since 2011,” said Chairman and CEO Michael Siegal. Operating income increased […]
Today, we thought we would get the final determination of the Vietnam/China circumvention complaint. Steel Market Update has been in constant contact on this subject with trade attorney Lewis Leibowitz who advised us yesterday evening, “DOC announced today that the final Vietnam circumvention determination will be May 9, extended from May 2. The determination will […]