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 […]
Flat rolled and plate steel prices continue to show signs of stability as the market absorbs the most recent decision on Section 232 exclusions (countries) and awaits decisions about individual product exclusions. Steel Market Update continues to reference our SMU Price Momentum Indicator as being at Neutral, but I want to warn our readers that […]
AK Steel reported solid first-quarter earnings but continued to advocate for trade action to curb unfair imports. “The high level of imports, particularly the ongoing surge of foreign electrical steel, remains a challenge, and we will continue to work proactively with the Trump administration to ensure fair and appropriate trade policies,” said AK Steel CEO […]
The American Institute for International Steel and the Coalition of American Metal Manufacturers and Users expressed their disappointment in the Section 232 announcement last night. AIIS President Richard Chriss and CAMMU issued the following statement: We are disappointed that the president did not act last night to end the uncertainty in the metals market by […]
Trade attorney Lewis Leibowitz provided Steel Market Update information regarding the White House decision made earlier this evening (Monday) regarding exclusions for various countries from the Section 232 steel and aluminum tariffs. Here is what Leibowitz had to say: At about 10:00 PM on Monday evening (tonight), the White House announced that tariffs would not […]
Metalforming manufacturers are expecting steady business conditions during the next three months, according to the April 2018 Precision Metalforming Association (PMA) Business Conditions Report. PMA members, however, are seeing negative impacts from the Section 232 aluminum and steel tariffs. Orders are expected to remain steady in the next few months. Manufacturers said daily shipping levels […]
Steel Market Update’s scrap sources expect ferrous scrap prices to drop by at least $10-$20 per ton in May, and possibly as much as $30-$40 per ton, as spring weather increases the scrap flows and boosts supply. Adding to the downward pressure on prices, they report, is weakness in the global market. One dealer in […]
Steel Market Update’s scrap sources expect ferrous scrap prices to drop by at least $10-$20 per ton in May, and possibly as much as $30-$40 per ton, as spring weather increases the scrap flows and boosts supply. Adding to the downward pressure on prices, they report, is weakness in the global market. One dealer in […]
Trade attorney and Steel Market Update contributor Lewis Leibowitz offers the following update on events in Washington: Product Exclusions—The Latest No objections to product exclusions had been posted on the regulations.gov website as of April 29. The BIS regulations require objections to be submitted to BIS within 30 days after a request has been posted. […]
A deal may be in the works for Brazilian steelmaker Cia Siderugica Nacional (CSN) to sell its U.S. operations to Steel Dynamics (SDI). Brazilian media reported that the sale price would be at least $250 million, and probably more, for CSN’s cold rolling and galvanizing facility in Terre Haute, Ind. American Metal Market suggests the […]
ITR Economics continues to expect economic growth in 2018 followed by a mild recession in 2019. Concern over looming tariffs aligns with the HARDI/ITR quarterly forecast of macroeconomic deceleration in the U.S. economy late in 2018. Steel Market Update is a member of an association connected to the construction industry called HARDI, the Heating, […]
U.S. Steel Corp. says its asset revitalization program is working as evidenced by net sales of $3.14 billion and net earnings of $18 million for the first quarter of 2018. Earnings before interest and income tax for the flat-rolled segment were $33 million in Q1 compared to a loss of $88 million in first-quarter 2017. […]