Spot market prices for US domestic HRC and CRC have climbed once again, sources note, adding that it’s “just a matter of time” before HRC prices climb above $90 cwt. ($1,984/mt or $1,800/nt), FOB mill.
Current HRC prices are trending at $84-$87 cwt. ($1,852-$1,918/mt or $1,680-$1,740/nt), FOB mill, against a range of $83-$85 cwt. ($1,829-$1,874/mt or $1,660-$1,700/nt), FOB mill, a week ago.
US CRC spot market prices have also climbed in the past seven days and are now being heard at $94-$96 cwt. ($2,072-$2,116/mt or $1,880-$1,920/nt) FOB mill, against a range of $93-$95 cwt. ($2,050-$2,094/mt or $1,860-$1,900/nt), FOB mill, a week ago.
While flat prices remain high in the US, sources point out that it appears flat steel import arrivals, which have been light since the start of the pandemic, are starting to trend upward. The most recent data from the US Department Commerce indicate the US imported 206,307 mt of hot rolled sheet in May (preliminary census data), which reflects the highest HRC import volume in the past 18 months.
As for CRC imports, preliminary census data shows the US imported 111,993 mt in May, which would reflect the highest CRC import volumes since May 2020, when the US imported 111,141 mt.
“Domestic prices are still climbing and even with the Section 232 tariffs, import prices are more favorable to the prices in the domestic market,” a source said, noting that some US import HRC prices are trending as low as $76 cwt. ($1,676/mt or $1,520/nt), and that import CRC is being offered at roughly $95 cwt. ($2,094/mt or $1,099/nt), both DDP loaded truck in US Gulf coast ports. “Since it seems like domestic prices will continue to rise for the rest of the year, I suspect there are quite a few people who are booking offshore.”