Although the news this week that Donald Trump wants to re-instate Section 232 tariffs on steel imports from Brazil and Argentina primarily affects the flat steel market, sources within the US import rebar market say that while import offers will not be affected, there is a significant psychological impact from the news. Uncertainty has pervaded the import market since Section 232 tariffs were announced in early 2018, but the increasing possibility that tariffs can “come and go on a whim” is making already-wary import buyers even less inclined to order material that “could very well get slapped with additional tariffs while the shipment’s on the water.”
Demand for US import rebar was already trending tepid, and sources say the latest tariff news “doesn’t help, even if it turns out to be an angry tweet, not official policy.” As such, inquiry activity is down this week and offer levels have not moved.
US import rebar offers are at $28.50-$29.50 cwt. ($628-$650/mt or $570-$590/nt) DDP loaded truck at US Gulf ports from Spain, $29.00-$29.50 cwt. ($639-$650/mt or $580-$590/nt) DDP Houston from Mexico, and $28.00 cwt. ($617/mt or $560/nt) DDP loaded truck at the port from Turkey.