US HSS market weakens as flat rolled prices decline

Friday, 12 April 2013 01:19:18 (GMT+3)   |   San Diego

The average spot price range on US domestic hollow structural sections (HSS) remains mixed, varying from mill to mill and order by order. While some mills have tried to be adamant about enforcing higher spot prices of about $46.00-$47.00 cwt. ($1,014-$1,036/mt or $920-$940/nt) ex-Midwest mill, larger orders are easily garnering discounts. Demand levels are static and with flat rolled spot prices falling over $1.00 cwt. ($22/mt $20/nt) in the last couple of weeks, HSS mills have been faced with customers unwilling to pay previously higher prices. Deals about $1.00 cwt. under the spot price range are common, and some mills have offered even lower prices to fill anemic order books.

As long as hot rolled coil (HRC) spot prices are trending lower, HSS prices will remain under downward pressure--and if the lower-priced offers become increasingly widespread, the general spot range will likely drop in the next couple weeks.  HSS mills are almost exclusively competing with one another for orders as futures are too much of a gamble for most. Korean mills are offering HSS at $42.00-$43.00 cwt. ($926-$948/mt or $840-$860/nt) DDP loaded truck in US Gulf ports, too high while expectations point to a probable decline in US domestic prices in the near term.


Similar articles

US HSS market continues to face pricing pressure

24 May | Tube and Pipe

Mills drop US domestic HSS prices

10 May | Tube and Pipe

US HSS market turns static

26 Apr | Tube and Pipe

US pipe pricing steady as tariffs, lack of interest rate cut continue to limit spot trade action

29 Jul | Tube and Pipe

Canada retaliates against US with reciprocal steel tariffs

13 Mar | Steel News

US Steel groups pledge support for steel tariffs, applaud actions taken by Trump Administration

10 Mar | Steel News

US pipe prices steady to lower in limited trade, even as flat steel pricing begins upward creep

26 Nov | Tube and Pipe

US steel pipe prices sharply lower as flat steel prices find bottom, rig count remains low

29 Jul | Tube and Pipe

NBS: Local Chinese rebar prices down 0.2 percent in mid-October

24 Oct | Steel News

MOC: Average steel prices in China down slightly during Oct 2-8

12 Oct | Steel News