US domestic coated flat steel spot prices have fallen again in the last week and are anticipated to continue on their weakening trend over the next couple weeks. Even as US raw steel production levels move steadily lower--falling another 1.8 percent last week, after a combined 4.1 percent drop the previous three weeks--sources tell SteelOrbis that lead times remain short and mill order books are lacking. Buyer inventories remain heavy, particularly for products such as Galvalume, which experienced a major spike in import arrivals the last couple months.
The more coating/width extras a product requires, the more discounts US mills have been granting, according to industry insiders, and the "right order" could garner a significant discount off of Galvalume 0.019x41.5625 Gr80/AZ55. Already, spot prices for the product have dropped an average of $1.00 cwt. ($22/mt or $20/nt) in the last week, along with the base and coating extras spots of hot dipped galvanized (HDG) products as well. With domestic scrap prices falling in June to lows not seen since 2010 and hot rolled coil (HRC) prices especially, weak, HDG and Galvalume spots are likely to remain soft for at least a couple more weeks.
| Cwt. | Metric Ton (mt) | Net ton (nt) | Change from last week | |
| US domestic HDG base price | $35.00-$36.00 | $772-$794 | $700-$720 | ↓ $1.00 cwt. |
| 0.012"x40.875" G30 | ||||
| ex-Midwest mill | $45.00-$46.00 | $992-$1,014 | $900-$920 | ↓ $1.00 cwt. |
| 0.019"x48" G90 | ||||
| ex-Midwest mill | $45.00-$47.00 | $992-$1,036 | $900-$940 | ↓ $1.00 cwt. |
| US domestic Galvalume base price | ||||
| ex-Midwest mill | $35.00-$36.00 | $772-$794 | $700-$720 | ↓ $1.00 cwt. |
| 0.019x41.5625 Gr80/AZ55 | ||||
| ex-Midwest mill | $46.00-$47.00 | $1,014-$1,036 | $920-$940 | ↓ $1.00 cwt. |