US flat steel prices continued their recent downward trend this week fueled by a growing bearish outlook for September scrap pricing, even as low flat steel demand continued, market insiders told SteelOrbis. This week’s continuation of declining flat steel pricing follows on earlier reports that US mills were offering lower pricing in order to entice hesitant buyers to close on a limited number of mid-month orders.
The SteelOrbis spot average price for hot-rolled coils is assessed $10/nt less at an average of $825/nt (909/mt) or $41.25/cwt., off from last week’s more modest $5/nt dip to an average $835/nt ($920/mt) or $41.75/cwt. Weekly SteelOrbis pricing data reveals this week’s HRC assessment represents the lowest price level for HRC seen since mid-May when HRC dipped as low as $835/nt ($920/mt), or $41.75/cwt.
“The markets were real slow as the steel industry tries to understand how the new set of Section 232 tariffs will affect the market in the US,” said one flat steel insider. As previously reported by SteelOrbis, on Aug. 18, the US Commerce Department announced a major expansion of Section 232 trade measures, adding 407 new product codes of steel and aluminum derivative products subject to tariffs. The decision, broadens the scope of duties and affects a wide range of industries.
In other flat steel markets, spot CRC pricing followed HRC prices lower once again, settling down about $5/nt to on average $1,045/nt ($1,152/mt), or $52.25/cwt. Given continuing dips in HRC and CRC pricing, the weekly key price spread between the two key steel grades increased $5/nt to $220/nt or $11.00/cwt.
In the coated steel markets, spot HDG grade steel slipped on average $5/nt to $970/nt ($1,069/mt), or $48.50/cwt., off from $975/nt ($1,075/mt) or $48.75/cwt., one week earlier.
On the mill side, this week’s CSP from Nucor continued lower, falling another $10/nt to $865/nt ($954/mt), or $43.25/cwt., off from $875/nt ($965/mt), or $43.75/nt, seven days earlier.
