Did US plate mill price increases move the market?

Thursday, 15 August 2019 23:36:27 (GMT+3)   |   San Diego
       

In late July, US domestic plate producers announced they would be raising spot market prices by $2.00 cwt. ($44/mt or $40/nt) price increase, effective with all new orders.  At the time of the increase, US domestic plate prices were trending at approximately $34 cwt. ($750/mt or $680/nt) ex-mill, although some buyers reported having no problems getting discounts of up to $2.00 cwt. ($44/mt or $40/nt) below that level.

And while the first increase seemed to have “shorted things up” and removed deep discounts from the table, as of late last week buyers indicated that prices were being heard at $34-$35 cwt. ($750-$772/mt $680-$700/nt), ex-mill.

Since that time, Nucor Plate Mill and SSAB Americas announced a second $2.00 cwt. ($44/mt or $40/nt) price increase. Although some speculate that the move was in line with an “announce two increases to force the first into acceptance,” spot prices have yet to move upward.

The market continues to be plagued by oversupply and short lead times, sources note, adding that there’s a bit of skepticism in terms of whether mills will succeed in getting prices to rise.

 


Most Recent Related Articles

Did the flat rolled price increase push HDG prices upward?

US import HDG market “sees end to downward pressure”

Are US plate prices finally heading for an upswing?

US plate prices “racing to the bottom”

US plate prices still stable