US billet prices have stayed neutral in July along with domestic shredded scrap prices.
In reaction to the softening US domestic finished products market, re-rollers have been conservative about purchasing significant billet tonnage, only buying a sufficient amount to uphold current inventory levels.
Additionally, US billet prices have stayed neutral in July following a similar trend in US shredded scrap prices; most billet offers are still in the range of $665 to $675/mt. Early anticipation for the US domestic scrap prices is a sideways to slightly down trend in August, and US billet prices are expected to follow.
According to the US Import Monitoring and Analysis System (SIMA), total billet imports into the US in June were 24,467 mt, reflecting an increase of 2,582 mt from May. The primary billet exporters to the US during June were Mexico, at 20,172 mt; Canada, at 3,042 mt; Austria, at 892 mt; and the United Kingdom, at 515 mt.
On the other hand, the latest USITC data show that the total amount of US carbon billet exported in the month of May was 34,307 mt, which represents a small decrease of 244 mt compared to April. The primary countries that imported US carbon billet in May were: Dominican Republic, at 30,187 mt; Taiwan, which imported only 7 mt of carbon billet from the US in the previous month, at 3,043 mt; Ecuador, which didn't import any US carbon billet earlier this year, imported 523 mt from the US in May; and Canada, at 518 mt.