Prices for US domestic hot rolled coil have softened since our last report a week ago—despite a $2.00 cwt. ($44/mt or $40/nt) price increase that was pushed out by domestic flats producers.
Current prices, which were heard at $40.00-$43.00 cwt. ($882-$948/mt or $800-$860/nt), ex-mill this time last week, are now trending between $39.50-$41.50 cwt. ($871-$915/mt or $790-$830/nt), ex-mill, although several sources close to SteelOrbis have indicated they’ve heard that mills are offering deals below this range to volume buyers.
Few, if any, believe the price increase will gain traction. “The mills were wanting to prevent further erosion but that hasn’t happened,” a Midwest-based source said. “The unions seem to have reached an agreement with the mills so it doesn’t look like a labor strike is going to happen and a lot of people thought it would take something like a strike or other type of major outside event for prices to move upward.”
In terms of import pricing, several sources close to SteelOrbis have indicated they’ve receiving offers for Vietnamese HRC in the range of $36.50-$38.50 cwt. ($805-$849/mt or $730-$770/nt), DDP loaded truck in US Gulf coast ports. Interest in booking offshore remains stable, albeit uncertain, as questions as to whether the US may be considering implementing global quotas in lieu of tariffs are still present.