Opinions are still mixed regarding the short-term US domestic rebar trend, with some sources expecting a stable trend with scattered deals moving into next month, while others are predicting an uptrend in prices. For those expecting stable prices, one particular concern is the 102,492 mt in import rebar permits recorded for January, almost twice the December permit total of 56,274 mt. Sources say traders will inevitably cut deals for already-arrived material to move through inventory, which would place pressure on US domestic competition.
On the other hand, the latest predictions for an uptrend in US domestic scrap prices in March could return leverage to the mill side, after shredded scrap prices remained mostly stable this month. Now that US domestic rebar prices are below prices reported a year ago—before the Section 232 tariffs were announced—sources say mills are eager to firm up offers and will “use any excuse” to do so. For now, US domestic rebar spot prices are stable week-on-week at $34.50-$35.50 cwt. ($690-$710/nt or $761-$783/mt) ex-mill in the Midwest, and $36.00-$37.00 cwt. ($720-$740/nt or $793-$816/mt) ex-mill on the East Coast.