As predicted, inquiry activity in the US import wire rod market has increased in the last week due to the US domestic wire rod price trend. With the last portion of the January 1-effective US domestic wire rod price increase fully absorbing into the market this week, sources tell SteelOrbis that interest in imports has gained traction. However, there has been some reported resistance to current import offer prices.
Offers of imported wire rod in the US domestic market from Germany are now around the level of $31.50 cwt. ($630/nt or $694/mt) DDP loaded truck in US Gulf ports, reflecting a $0.50 cwt. ($10/nt or $11/mt) increase in the last week. Offers from Brazil are still reportedly close to German offers, although some deals below that level might be possible. Even so, sources tell SteelOrbis that customers are “balking” at offers above $31.00 cwt. ($620/nt or $683/mt) DDP loaded truck in US Gulf ports, so while inquiry activity is strong, actual purchasing activity is still lagging behind.