Import rebar and wire rod prices began to creep higher this week following a long period of stable pricing, as market insiders begin to come to terms with the likelihood that across the board import tariffs will go into effect on March 12, market insiders told SteelOrbis this week.
In the imported rebar markets, pricing advanced about $0.50-1.50/cwt. ($10/nt or $10/mt to $30/nt or $33/mt) as uncertainty over import tariffs drives new sales. Offers from Egypt are reported on a delivered-to-customer basis at $36.50/cwt. ($730/nt or $805/mt), up from earlier weekly pricing at $35.00-36.00/cwt. ($700-720/nt or $772-794/mt). Offers from Vietnam for May delivery are last discussed at $34.50/cwt. ($690/nt or $761/mt), up from previous weekly assessments at $33.00/cwt. ($660/nt or $728/mt) delivered, while offers from Mexico on a Houston loaded truck basis are last at $37.50-39.50/cwt. ($750-790/nt or $827-871/mt), up from recent reports at $37.00-38.00/cwt. ($740-760/nt or $816-838/mt).
Import rebar on a loaded truck basis at the US Gulf and US East Coast is discussed about $15/nt ($17/mt) higher at $35.75-36.75/cwt. ($715-735/nt or $788-810/mt), up from $35.00-36.00/cwt. ($700-720/nt or $772-794/mt) one week earlier.
On the import wire rod mesh front, import material on a DDP loaded truck basis USG is discussed flat at $37.00/cwt. ($740/nt or $816/mt), following earlier price strength as US markets advanced amid continued uncertainty regarding the planned restart of the Liberty Steel wire rod plant this March.
“The Trump administration is taking steel very seriously,” an import insider told SteelOrbis. “It’s clear that they will be coming to the table with trading partners in talks with a very definite plan to make the US steel industry more competitive.”
Part of that competitiveness, at least initially, could lead to rising long steel prices, he said.
“Right now, seems be a good time for importers to lock in contract pricing ahead of the tariffs which are expected to go into effect in March,” the import insider told SteelOrbis. “While it will take some time, steel buyers and distributors are focusing on building inventories right now in order to beat the March 12 deadline. That’s why I expect US port prices to continue to creep higher.”
The import insider added that recent US tariff exemptions on Ukrainian billets also is likely to end May 1, which could further increase the price of long steel rebar exports from Europe.
“The Ukrainian billet deal that was helping their pricing remain competitive is likely to be over,” he added. “So, as a result, I am expecting import pricing to continue to trickle higher.” He continued, “so, as you can see, the level of uncertainty among importers and exporters remains high as to whether tariffs and country-specific steel quotas will be changing.”
On the structural steel side, exporters remain vigilant for any updates from the Trump administration on tariff decisions expected by late February. They say the market could be headed higher because of potential stockpiling of rebar, MBQ and beams. As supply chains potentially change with tariffs, domestic mill pricing and lead time adjustments are likely in response to demand shifts, they say.
“Overall, the uncertainty will likely lead to short-term volatility, but a tariff decision in March could dictate the long-term market direction,” one Mexican long steel exporter told SteelOrbis. “If imposed, expect higher domestic prices and a restructuring of supply chains in Q2.”
This week, steelmakers Nucor and DeAcero both announced a $60/nt ($66/mt) or $3.00/cwt., increases in the price of its merchant and structural shape steel products effective with new orders received after the close of business on February 17, although confirmed orders will remain price protected if shipped by February 28. In a letter to its customers, DeAcero-Mid-Continent Steel and Wire said the company reserves the right to change pricing if the United States levies a tariff against Mexico.