US domestic and import plate prices continue to slip

Friday, 04 November 2011 01:18:36 (GMT+3)   |  

In the US domestic plate market, spot prices have fallen to about $46.50-$47.50 cwt. ($1,025-$1,047/mt or $930-$950/nt) ex-Midwest mill, reflecting a drop of about $0.50 cwt. ($11/mt or $10/nt) on the low end, but a $1.50 cwt. ($33/mt or $30/nt) decline on the high end from spot prices two weeks ago. While a couple plate mills have begun informing customers that they are booked through December already, others still have plenty of availability, according to industry insiders. So in order to fill order books and compete with less expensive import plate still trickling in, some mills are continuing to make deals to maintain their market share.

Arriving plate imports to the US, particularly from Russia, Korea and Turkey are in some cases coming in with tags about $2.00 cwt. ($44/mt or $40/nt)--or more--below US domestic spot prices. Sources tell SteelOrbis that while much of the plate coming in is accounted for, there are "unsold tons floating around" that are still being sold off below US domestic prices.

New import plate offers are also undermining US domestic mills' efforts to stop the price slide. In particular, most Russian plate prices in the US have dropped about $2.50 cwt. ($55/mt or $50/nt) in the last two weeks and are now in the range of $41.00-$42.00 cwt. ($904-$926/mt or $820-$840/nt) DDP loaded truck in US Gulf ports for February/March arrival, a price that has garnered quite a few import orders in the last week. Brazilian plate sales prices are unchanged from late October and are still $45.00-$46.00 cwt. ($992-$1,014/mt or $900-$920/nt) DDP loaded truck in US Gulf ports.


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