Nucor’s Consumer Spot Price (CSP) -the price it charges for hot-rolled coils across all of its mills- was reported steady for a second week today following a series of earlier upward price reports inspired by the implementation of 50 percent Section 232 steel and aluminum tariffs that went into effect June 4, market insiders told SteelOrbis.
This week’s CSP is reported steady at $910/nt, ($1,003/mt), or $45.50/cwt., up from $900/nt ($992/mt) or $45.00/cwt., three weeks earlier. Nucor’s California Steel Industries (CSI) base price also was reported steady at $970/nt ($1,069/mt) or $48.50/cwt., up from $960/nt ($1,058/mt) or $48/cwt., three weeks ago.
Market insiders told SteelOrbis that prior to the recent doubling of steel and aluminum tariffs by the Trump administration, mills were reluctant to raise prices for fear that higher domestic steel prices would make imported steel more competitive on a cost basis. That scenario no longer exists while current tariffs remain in place, they said. Insiders told SteelOrbis recent extensions of reciprocal tariff deadlines to Aug. 1 could also be supportive for spot market pricing.
“If the Mexico, Canada situation lasts, with no carveouts for the EU and Korea, HRC (spot) prices could firm up towards $1,000/nt,” one flat steel trader told SteelOrbis.
On July 14, European markets headed lower as investors digested President Trump's latest threats to hit the EU and Mexico with 30% tariffs starting on August 1. Trump's threat comes after a series of announcements last week that included warnings of a possible 50% levy on all copper imports and all goods from Brazil, 35% levies on Canadian goods, and a possible 200% tariff on imported pharmaceuticals.
On the spot pricing side, the SteelOrbis spot HRC weekly average price was reported sharply lower this past week on average $850/nt ($937/mt), or 42.50/cwt., off from $890/nt, ($981/nt), or $44.50/cwt., one week prior. Insiders told SteelOrbis some importers are discounting price offers to generate cash flow, as current 50 percent tariffs causes demand for imported steel to slip versus the price of domestic material.