US STEEL PRICE ROUNDUP FROM MEPS INTERNATIONAL LTD
Although US hot rolled coil customers
were, initially, sceptical regarding the price hike announcements, recent
settlements have reflected an increase, according to MEPS. Buyers report that
delivery lead times are now well into June and suppliers are pushing for further
rises beyond that date.
Hot rolled plate transaction values continue to deteriorate. However, mills
report an uptick in demand in recent weeks due to declining inventories and
stronger customer needs. Current delivery lead times, however, remain at four
weeks. Meanwhile import volumes have slowed.
The negative price trend, for cold rolled coil, has been halted. Local mills
have successfully negotiated a rise. Buyers are less keen to purchase from
overseas whilst the authorities contemplate trade action. Many market players
expect cases to be filed shortly. Service centre stocks are still overbuilt, but
US auto demand is stable at a high level. Construction activity continues to
improve but remains well below potential. Appliance makers have noticed a
flattening in demand as a result of the strong US dollar. Coated steel
transaction values reached the bottom in late April and are now moving up.
Sales of beams have still to pick up, despite better signals from the
non-residential construction sector. Import availability is plentiful.
Rebar import prices are moving up. However, domestic transaction numbers have
declined during recent settlements. Demand from the residential construction
market is slow to improve.
Service centre sales of merchant bar have declined considerably compared with
2014 as agricultural and mining demand has fallen away. The domestic mills are
carrying surplus stock. Imports from Turkey have slowed in recent months but
supplies from Mexico are plentiful.
Steel Review - May Issue
Free Sample copies
of MEPS Reports
the latest copy of International Steel Review here
up for free MEPS steel news alerts