US domestic flat rolled spot prices have drifted slightly lower over the last week as short mill lead times have resulted in increased deal-making in the market. Larger tonnage buyers have been able to purchase hot rolled coil (HRC) on the lower end and even just under the current $30.00-$32.00 cwt. ($661-$705/mt or $600-$640/nt) ex-Midwest mill range, while the average order is now taking place between $30.00-$31.00 cwt. ($661-$683/mt or $600-$620/nt) ex-mill. For now, sources tell SteelOrbis that these deals are not widespread as raw material prices changed little in January, but some mills with leaner order books have shown willingness to be flexible with prices for certain orders.
With demand weaker than many anticipated for January, more "quiet deals" are likely to be heard in the next couple weeks as buyers continue to make purchases strictly on as-needed basis. Meanwhile, although import activity hasn't been particularly exciting in the last week, some US buyers have placed HRC orders with Mexican and Brazilian mills, whose offer prices are just under US domestic spots. Chinese cold rolled coil (CRC) offer prices are on the rise--along with all other flat steel prices in China--due to rising iron ore prices. But given the uncertain state of the US domestic market, traders are not finding many takers for higher-priced Chinese CRC futures, which aren't slated to arrive until Q2.
| Cwt. | Metric Ton (mt) | Net ton (nt) | Change from last week | |
| US domestic | ||||
| HRC | $30.00-$32.00 | $661-$705 | $600-$640 | neutral |
| CRC | $35.00-$37.00 | $772-$816 | $700-$740 | neutral |
| China* | ||||
| CRC | $35.00-$36.00 | $772-$794 | $700-$720 | neutral |
| Mexico** | ||||
| HRC | $29.00-$30.00 | $639-$661 | $580-$600 | newly offered |
| CRC | $34.00-$35.00 | $750-$772 | $680-$700 | neutral |
| Brazil* | ||||
| HRC | $29.50-$30.50 | $650-$672 | $590-$610 | newly offered |
**DDP loaded truck delivered into Houston