Following two weeks of steady pricing, US domestic rebar pricing moved lower this week as traders remain sidelined waiting on the US Trump administration to announce the start of reciprocal tariffs next week on April 2. Wire rod pricing, which has remained solid lately, was reported flat, as concerns grow over the expected restart of Liberty Steel’s downed wire rod plant, market insiders told SteelOrbis.
Insiders added that domestic mills remain reluctant to increase rebar pricing out of fear that if mills were to roll out more price increases, imports could become more competitive. Recent reports of high levels of rebar “on the ground” at US mills and at import dock locations also are limiting the ability for prices to rise much, they said.
With April 2 looming, market activity remains “a bit slow,” with many still in a “wait and see” mode. In addition to current 25 percent tariffs on imported steel and aluminum, Trump’s new trade plan for reciprocal tariffs would basically match on a tit-for-tat-basis all existing duties now levied against the US from foreign trading partners. Many have vowed retaliation, even as uncertainty remains high.
Yesterday, media reports said Trump’s new focus on reciprocal tariffs will be more “measured,” with the concentration narrowed to the so-called “dirty 15” nations that have the highest current trade imbalances with the US. The March 24 announcements on social media platform Truth Social comes after Trump hinted Friday, March 21, that he might be more flexible on how he imposes the new tariff duties.
According to the US Trade Representative (USTR), the top 15 nations in order of the size of their trade deficit with the US are China, the EU, Mexico, Vietnam, Taiwan, Japan, South Korea, Canada, India, Thailand, Switzerland, Malaysia, Indonesia, Cambodia, and South Africa.
In the weekly rebar spot markets, domestic supply on an FOB mill basis is assessed with most transactions noted at $39.00-40.50/cwt. ($780-810/nt or $860-893/mt), on average $39.75/cwt. ($795/nt or $876/mt), down $1.00/cwt. ($20/nt or $22/mt) from seven days ago.
“This price reflects a more realistic market as the steel mills have tried to push these numbers higher, but there is still so much material on the ground that the price did not go up,” another insider told SteelOrbis.
In the wire rod markets, while Peoria, Illinois-based Liberty Steel’s wire rod plant was initially expected to restart in mid-March, insiders said, the restart may have been further delayed. “Contrary to Liberty Steel’s plans, they are still not up and running their wire rod mill,” said one Midwest wire rod insider. “Rumor has it, the financing package continues to be in negotiation.”
In the domestic wire rod market, most transactions were reported this week at $43.00-44.00/cwt. ($860-880/nt or $948-970/mt), or an average of $43.50/cwt. ($870/nt or $959/mt), unchanged from seven days earlier.
“In a week’s time, hopefully with full knowledge of the reciprocal tariffs, the steel market will have a better direction for pricing,” a market insider told SteelOrbis.
