US import long steel prices continued to advance this week in response to reports of rising fuel and freight surcharges and more limited shipping availability as the global freight and shipping markets remain in flux as a result of the continuing volatile situation in the Strait of Hormuz, market insiders told SteelOrbis.
And, while global oil prices have declined off recent highs following recent actions by the US Trump administration to ease geopolitical tensions with Iran, Trumps April 21 announcement of another 10-day ceasefire extension, even as a continued naval blockade exists in the Strait of Hormuz, does little to indicate how soon potential hostilities could or will end.
At current, West Texas Intermediate crude oil -the US benchmark oil grade- trades at about $94.50 per barrel (/bbl), up from $85-88/bbl one week earlier, though still up more than 41 percent since hostilities with Iran began on Feb. 28. Market insiders said on average, global shippers are adding $0.25-0.50/cwt., ($5-10/nt or $5-10/mt) to current delivered steel prices as a result of the more risky and expensive ongoing freight situation.
“Some market players without access to reserves like Bangladesh are starting to run out of oil,” commented one US Gulf Coast steel importer. “Also, some vessel owners are starting to “re-neg” on contracts by declaring Force Majeure on existing shipments on the books, so available shipping capacity is getting even more restrictive.” He continued. “Rising oil prices is one thing, but, finding available freight right now is another and bigger concern.”
On the US Gulf Coast, import rebar on a loaded truck basis is priced at $45.50-46.50/cwt., ($910-930/nt or $1,003-1,025/mt), up from $45.00-46.00/cwt., ($900-920/nt or $992-$1,014/mt) one week earlier. US East Coast import rebar pricing on a loaded truck basis also rose another $0.50/cwt., this week to on average $46.00-47.00/cwt., ($920-940/nt or $1,014-1,036/mt), up from $45.50-46.50/cwt., ($910-930/nt or $1,003-1,025/mt), one week ago.
Most recent import data from the American Iron and Steel Institute (AISI) indicates that total import permits for March rose 6.6 percent versus those posted for February. And, although there is a growing likelihood for more imports later in Q2, actual imports for Jan-Feb 2026 period remain nearly 38 percent lower than one year prior, AISI said. Sharp declines in US imports as a result of ongoing steel tariffs has caused US mills to increase productive capacity to about 80 percent of capacity of late, insiders said, the highest level since August 2024.
“Import prices of steel are still going up,” added another US Gulf Coast insider. “Higher ocean freight rates is resulting in a significantly higher cost to bring steel shipments into the US.” He continued. “Surcharges are really starting to add up,” he added. “The situation in the Middle East is inflationary to all commodities, and will eventually trickle down in the way of lower growth for the US economy.”
Prices rose sharply this week as a result of heightened shipping costs for import rebar on a CFR “free out” basis on the US Gulf Coast. Average prices rose $20/nt ($22/mt) to $640-650/mt, not inclusive of ongoing US 50 percent import tariffs.
In the import wire rod markets, wire rod mesh on a DDP loaded truck basis US Gulf Coast, is discussed at $47.50-48.50/cwt., ($950- 970/nt or $1,047-1,069/mt), up from $47.00-48.00/cwt., ($940-960/nt or $1,036-1,058/mt), one week prior.
“Free out” pricing for import wire rod rose even more than those seen for import rebar, showing a $40/mt increase on the week to $670-680/mt, global importers told SteelOrbis.
On the domestic long steel side, increased output from two key US mills, Nucor, Lexington, Ky., and Hybar Steel, in Arkansas, continues to prevent US rebar prices from rising to the point where import material has much room to compete. This week, domestic rebar pricing was steady to week-ago levels at $46.00-47.00/cwt., ($920-940/nt or $1,014-1,036/mt) on an FOB mill basis, following a $0.50/cwt., decrease reported a week earlier.
Domestic wire rod mesh on a US Midwest ex-mill basis remained flat for yet another week at $49.00-50/cwt., ($980-1,000/nt or $1,080-1,102/mt) as available spot supplies are reported more limited than those for rebar, insiders said.
