Nucor’s (CSP) -the price charges for hot-rolled coils across all of its mills- continued higher this week, rising above the $1,000/mt level for the first time since its inception in April 2024, amid steel market uncertainty over looming import tariffs on steel and aluminum slated to begin on March 12, market insider told SteelOrbis this week.
While recently announced import tariffs on Canada and Mexico by the Trump administration were delayed late last week until April 2, new Section 232 tariffs of 25 percent are expected to further reduce imports of steel into the US, allowing domestic producers more ability to raise prices, market insiders said.
In its usual Monday letter to its customers, Nucor reported its CSP rose another $15/nt ($17/mt) to $915/nt ($1,009/mt), or $45.75/cwt., up from last week’s $40/nt ($44/mt) increase to $900/nt, ($992/mt), or $45.00/cwt., FOB mill. Since the beginning of recent Nucor price increases for HRC on January 27, values have risen by a full 22 percent. Prior to that, prices were stable for nearly three months at $750/cwt.
Nucor’s California Steel Industries (CSI) monitor also increased another $15/nt ($17/mt) to $975/nt ($1,075/mt), or $48.75/cwt., up from last week’s $40/nt ($44/mt) increase to $960/nt, ($1,058/mt), or $48.00/cwt., on an FOB mill basis.
This week, Nucor’s CSP is now higher than its nearest competitor, Ohio-based Cleveland-Cliffs, which announced on February 21, that its April Hot Rolled Market Price would increase $100/nt to $900/nt FOB mill ($992/mt), or $45.00/cwt.
Insiders said strong scrap pricing also continues to be supportive of HRC pricing. Low inventories and the effects of cold snowy weather across much of the eastern two-thirds of the US have continued to boost scrap prices. March scrap is discussed today at $20-40/gt ($20-41/mt) premiums to February settled scrap pricing in the US Ohio Valley. On the US East Coast March scrap was expected to settle sideways to up $10/gt ($10/mt).
In the domestic flat steel spot markets, the SteelOrbis weekly average for HRC climbed again this past week to an average of $880/nt ($970/mt), or $44.00/cwt., up from $860/nt., ($948/mt), or $43.00/cwt., seven days earlier.
Since the industry release of the Nucor CSP in April 2024, flagging finished steel demand has resulted in Nucor reducing its CSP as low as $650/nt ($717/mt), or $32.50/cwt. during the week of July 15. Since that time, Nucor’s CSP has risen nearly 41 percent.