Spot prices for
US domestic hollow structural sections (HSS)
tubing have fallen another $1.00 cwt. ($22/mt or $20/nt) since our last report two weeks ago, bringing the current average spot market range to $37.50-$38.50 cwt. ($827-$849/mt or $750-$770/nt), ex-Midwest mill; the latest decrease has
US domestic prices trending approximately $5.00 cwt. ($110/mt or $100/nt) lower than they were just six weeks ago.
Although many believed “the bloodletting would stop” once
US domestic flats mills rolled out their recent price increase, sources say they were “very surprised” to see more softening within the market. Not surprisingly, as of end-of-business-day Wednesday, at least one
US domestic
tubing mill has announced a price increase.
Atlas Tube led the proverbial charge, telling customers that they could expect a $30/nt price increase on HSS products effective with shipments June 15. “All HSS shapes up to 22 sq (square and equivalent rectangles), and all HSS rounds up through 20” OD will increase by $1.50 cwt. ($33/mt or $30/nt).
Whether the increase will be accepted, or if it will simply stop the spiraling downfall, has yet to be known.
In terms of futures pricing, at least one Korean producer is rumored to be offering HSS
tubing to the
US “well below” previous offer prices of $31.50-$32.50 cwt. ($694-$717/mt or $630-$650/nt) DDP loaded truck in
US Gulf coast ports; although many say they aren’t buying import at the moment, others are said to be taking advantage of the deal.