Although US domestic scrap prices could see an upward shift next month, sources are cautious about predicting a US domestic rebar increase as a result. Demand remains strong and supply is relatively tight, but some sources are worried about recent reports on construction project cancellations and an expected influx of attractively-priced imports due to arrive in a couple months.
Sources say US rebar mills might also be reluctant to raise prices due to freight costs being so high, but others contend that if mills want to raise rebar prices—and thus profit margins—there’s not much that can stop them. For now, US domestic rebar offers are unchanged week-on-week, in the range of $42.00-$44.00 ($926-$970/mt or $840-$880/nt) ex-mill in the Midwest, and $41.00-$42.00 cwt. ($904-$926/mt or $820-$840/nt) ex-mill on the East coast.