Along with a continued uptrend in global scrap prices, US import wire rod prices remain high this week, with offers rising another modest $0.50 cwt. ($10/nt or $11/mt). However, traders tell SteelOrbis that demand for import wire rod in the US remains lackluster, and the chances for an uptick in purchasing activity after the holidays will depend in large part on the success of the recently announced $2.25 ($50/nt or $50/mt) US domestic wire rod price increase, which is due to go into effect Jan. 2, 2018.
Several US wire rod buyers believe only half “at best” of the increase amount will absorb into US domestic wire rod spot prices, but sources say any uptick will encourage buyers to “take another look” at import offers.
This week, offers of imported wire rod in the US domestic market from Germany are now around the level of $31.00 cwt. ($620/nt or $683/mt) DDP loaded truck in US Gulf ports, reflecting an increase of $0.50 cwt. ($10/nt or $11/mt). Imported wire rod in the US domestic market from Egypt has increased by the same amount, into the level of $31.75 cwt. ($635/nt or $700/mt) DDP loaded truck in US Gulf ports.