US import long steel pricing was mixed this week amid continued reductions in imports as a result of ongoing Section 232 steel tariffs, even as November shredded scrap pricing is now seen mostly sideways, market insiders told SteelOrbis this week.
During recent October scrap supply negotiations, US Midwest shredded scrap -a key US grade referenced in domestic rebar production- settled $10/gt lower on average at $365-370/gt ($371-376/mt).
Long steel market participants added that recent US mill additions to domestic rebar production have yet to have a significant impact on reducing reports of recent supply issues, especially since tariffs continue to slash imports.
“Nucor and CMC are still the major suppliers on the (US East Coast),” a US East Coast rebar insider told SteelOrbis. “And, while Gerdau and SDI are offering a little bar, [the Hybar mill is] still not making an impact. Nucor, NC, is also not yet making an impact yet on spot prices either.”
As reported previously in weekly SteelOrbis long steel market reports, US long steel mills continue to allocate supply because of sharp reductions in imports, the result of ongoing 50 percent steel tariffs and amid ongoing 4th quarter mill maintenance operations. And even as US infrastructure spending projects continues to lag expectations, they say, insiders add that fairly steady long steel demand from data center construction activities remains a key price support.
“Spot availability at the mill is non-existent for #4 bar especially,” the insider added, reporting domestic East Coast import rebar pricing on a loaded truck basis slightly lower on the week at $44.00-46/cwt. ($880- 920/nt or $970-1,014/mt) “Some of the larger sizes are available on a limited basis on the spot market, however, order entry control, (also known as) allocation, is still happening.”
On the US Gulf Coast, import rebar pricing is reported at $44.00-45.50/cwt., ($880-910/nt or $970-1,003/mt), up slightly from $43.50-45.50/cwt., ($870-910/nt or $959-1,003/mt), reported seven days earlier.
“We’re not seeing any Gulf Coast import rebar offers for less than $44.00/cwt out there this week,” a Midwest import insider said. “All of the lower priced inventory we saw previously on the ground in Texas pre-tariff appears to have been sold off.”
Another import insider said December spot pricing offers could move higher as Middle East suppliers continue to reduce export offers amid ongoing US anti-dumping investigations.
“We saw one import rebar offering for December,” the East Coast importer added. “However, I’m not sure it is going to materialize, as it was offered at a price comparable to the domestic pricing - maybe a little higher in some cases.”
This past week’s reports of limited import wire rod mesh supplies from Vietnam and Malaysia quoted on a DDP loaded truck basis on the US Gulf Coast at $42.00-43/cwt., ($840-860/nt or $926-975/mt), remained steady this week, though off from $42.50-43.50/cwt., two weeks earlier.
“There’s not many options out there for import supply from Middle East countries,” the Midwest importer said. “With the ongoing AD cases, other countries could step up efforts to provide supply, however, once they do, they will face the same 50 percent tariffs.”
CFR US Gulf Coast basis Free-Out rebar and wire rod mesh pricing is reported on average $10/mt higher at $600-610/mt, not inclusive of Section 232 tarrifs, spot traders told SteelOrbis this week.