The latest Metals Activity Report (MAR) released by the Metals Service Center Institute (MSCI) demonstrates that August steel shipments of metals service centers slightly increased both in the United States and Canada from July levels, while inventory levels continued to shrink.
August 2009 shipments of steel products from US metals service centers totaled about 2.55 million net tons, representing a slight increase from the 2.50 million nt of shipments in July; however, shipments were still down 34.7 percent from August 2008. Furthermore, total US steel service center shipments over the first eight months of the year amounted to approximately 19.8 million nt, which is an estimated 42.3 percent decline from the same period of 2008.
Meanwhile, the 5.62 million nt of steel inventory held at US service centers at the end of August decreased from end-July volumes of 5.70 million nt, and resulted in a record (according to the MAR data series) 49.0 percent decrease from August 2008. At current shipping rates, the August inventory levels reflect about a 2.2-month supply, down from an approximate 2.3-month supply at the end of July.
Canadian metals service center steel shipments totaled 415,500 nt in August compared to shipments of 398,500 nt in July, and is an approximate 18.8 percent decline in volume from August 2008. Year-to-date steel shipments total about 3.3 million nt, down 32.1 percent from the same period last year.
Furthermore, Canadian service center inventories declined from 999,000 nt in July to 955,600 in August, and have declined 42.6 percent from August 2008. At current shipping rates, August inventory levels reflect about a 2.3-month supply, down from an approximate 2.5-month supply at the end of July.