The two-year Section 337 investigation brought by U.S. Steel against Chinese steel manufacturers has been officially terminated by the U.S. International Trade Commission. All three components of the investigation—antitrust violation, transshipment, and trade secret theft—are now dissolved without action against the Chinese steel producers and distributors. According to an April 9 notice, U.S. Steel did […]
“The tariffs are already causing our jobs and work to shift to competitors outside our borders and will continue to do so until action is taken. What was presented as a tariff on foreign steel producers has effectively become a tax on U.S. manufacturers like us,” stated Kevin Kennedy, president of Kennedy Fabricating, Inc., Splendora, […]
U.S. steel producers consider the Trump administration tariffs on steel imports a big step forward, albeit a journey still in progress, but are not resting on their laurels. AK Steel CEO Roger Newport presented the industry’s case once again in testimony Thursday before the House Ways and Means Committee in support of Section 232. “We […]
For those of you who may be new to Steel Market Update or haven’t been paying attention to President Trump over the past few months, the President has issued 25 percent tariffs on foreign steel coming from countries other than: Canada, Mexico, Australia, South Korea, Argentina, Brazil and member countries of the European Union. The […]
Steel Market Update’s new analysis of sheet, plate, long and tubular product imports and their 18 subcategories is still a work in progress, but it offers a timely means to examine the effects of the Section 232 legislation on the market. Table 1 shows total supply to the market in three months through February and […]
Have flat rolled and plate steel prices peaked? Opinions vary widely among Steel Market Update’s sources. We spent all day today working on gathering flat rolled and plate pricing information. In the process, we also collected comments from steel buyers as to whether they felt steel prices have “peaked” or if there is more room […]
Have flat rolled and plate steel prices peaked? Opinions vary widely among Steel Market Update’s sources. We spent all day on Tuesday working on gathering flat rolled and plate pricing information. In the process, we also collected comments from steel buyers as to whether they felt steel prices have “peaked” or if there is more […]
On Monday, April 9, trade attorney Lewis Leibowitz shared the following observations regarding Section 232, Section 301 and other trade-related issues with Steel Market Update. Here is what he had to say: Another eventful day in Washington. Stocks rallied today as fears of a trade war “eased,” at least in the minds of Wall Street […]
“Compared to one month ago, demand is declining, but to a more normal level,” commented one respondent to Steel Market Update’s market trends questionnaire last week, expressing a common view. There has been a surge in demand in recent weeks due to the Section 232 tariff decision by President Trump. Many buyers have been buying […]
Steel Market Update’s sources report that ferrous scrap prices have increased by $5 to $15 per gross ton in April, depending on the type and region. Some predict scrap prices are likely to decline in May. Strong domestic demand is the key driver of rising scrap prices, said one dealer in the North. “With few […]
A lot is going on in shipping markets as uncertainty regarding the U.S. trade situation takes hold. Tariffs are expected to affect import volumes at coastal and inland ports. Truck availability continues to be an issue with the flatbed load-to-truck ratio soaring past 100 last week and prices on the increase. Barges are frustrated by […]
Steel executives are evenly split on whether President Trump is making the right choice to use the Section 232 tariffs as leverage to negotiate better trade deals and quotas on future steel imports. Respondents to this week’s Steel Market Update market trends questionnaire expressed sentiments ranging from “it’s about time we had fair trade” to […]
In Q1 2018, steel sheet product imports increased and plate products decreased compared to Q4 2017. Total rolled steel imports increased by 3.6 percent, and sheet products by 0.5 percent, in the three months through March compared to three months through December 2017. Plate products decreased by 9.7 percent on the same basis, according to […]
For those of you waiting for the PowerPoint presentation of our flat rolled steel market trends analysis, we should have it on the site either tomorrow afternoon (Monday) or on Tuesday. Brett has been on vacation and he is our master number cruncher. I want to thank Lewis Leibowitz for all of the help he […]
The battle is being joined this week over the Trump administration’s tariffs on steel and aluminum and the World Trade Organization is the battleground. Washington trade attorney Lewis Leibowitz offers the following assessment of the current trade situation: China requested consultations with the United States—the initial step in WTO dispute settlement cases—over the steel and […]
The battle is being joined this week over the Trump administration’s tariffs on steel and aluminum and the World Trade Organization is the battleground. Washington trade attorney Lewis Leibowitz offers the following assessment of the current trade situation: China requested consultations with the United States—the initial step in WTO dispute settlement cases—over the steel and […]
First, ferrous scrap prices are rising for delivery during the month of April. However, our sources are telling us that the increases are not at the $20-$30 per gross ton suggested a few days ago. The mills are playing hardball and the sense is that prices will drop in May, so dealers are taking what […]
Earlier this week, the U.S. Department of Commerce released steel import license data for the months of February and March 2018. There is a considerable difference between the two months, which SMU believes is partially due to the March 23 deadline before Section 232 tariffs went into effect. February license data suggests the month will […]
Major developments yesterday in the escalating trade war between China and the United States could have serious consequences for global commerce. Washington trade attorney Lewis Leibowitz offers the following assessment of the trade situation: The Office of the U.S. Trade Representative released a list of about 1,400 tariff line items. Tariffs of 25 percent on […]
Major developments this week in the escalating trade war between China and the United States could have serious consequences for global commerce. Washington trade attorney Lewis Leibowitz offers the following assessment of the trade situation: The Office of the U.S. Trade Representative released a list of about 1,400 tariff line items. Tariffs of 25 percent […]
Both current and future sentiment among flat rolled steel buyers saw little change in the past two weeks as the market paused to see how the maneuvering on the trade front plays out. In general, buyers’ attitudes remain at optimistic levels but are below year-ago levels, which SMU finds concerning. We are finding a growing […]
Tensions between Washington and Beijing over China’s policies toward U.S. and foreign investment and the multibillion-dollar trade surplus with the United States continued to escalate this week. In retaliation for the Trump administration’s tariffs of 25 percent on steel and 10 percent on aluminum, which took effect March 23, China has imposed tariffs on up […]
Brazil is one of seven countries granted a temporary retrieve from Section 232 tariffs on steel and aluminum. If the 25 percent tariff is imposed on the Brazilian steel industry, it would impact 13 percent of the nation’s steel exports and lead to losses estimated at $350 million annually, according to a new study by […]
I am happy to announce CNBC analyst and commentator Ron Insana will be doing our closing keynote speech this year. Mr. Insana is well know for his analysis, business forecasts and work following politics, regulations and trade issues and how they will impact business in the United States. I believe our attendees will have a […]
Steel price momentum remained on the upswing in March, but steel buyers appeared slightly less optimistic about their prospects as President Trump’s tariffs and fears of a trade war weighed on many minds. The price of benchmark hot roll hit $870 per ton in late March, up $50 per ton from the beginning of the […]
With so many trade issues under debate in Washington, it’s difficult to keep up. Trade attorney Lewis Leibowitz provided Steel Market Update with the following summation: • KORUS Negotiations: As part of the renegotiation of the Korea-U.S. free trade agreement (KORUS), the Trump administration has granted South Korea a permanent exemption from the steel tariffs […]
The steel import trend for the month of March is now approaching 3.5 million tons. This trend is based on license data through the 26th of March. If the month ultimately comes in above 3.2 million tons, it will top both the 12-month and the 3-month moving averages for steel imports. SMU assumes that a […]
I just can’t understand how a quote by Richard Chriss (president of the American Institute for International Steel), which is outdated and clearly wrong can make it into a story. There seemed to be no balance to the story. How can this sentence be left to stand?–“With other nations already indicating that they will retaliate […]
The metals market in the United States is ripe for mergers and acquisitions in 2018 and 2019, reported investment banker Vincent Pappalardo, managing director of Brown Gibbons Lang & Co., who spoke at the S&P Global Platts steel conference March 20 in Chicago. Valuations are up across the board. Family-owned firms that missed the opportunity […]
Recognizing the current sensitivity of trade relations with the Trump administration, Canada is taking extra precautions to ensure there is no circumvention of U.S. tariffs through the Canadian borders. The Canada Border Services Agency will be empowered to identify businesses that are attempting to dodge duties by shipping cheap steel to Canada. Agents will have […]