While predictions for US domestic scrap prices in April remained unclear in recent weeks, the latest predictions of a possible $20-$40/mt decrease for shredded scrap is not having much of an impact in the US domestic rebar market. Sources tell SteelOrbis that demand is strong enough to keep current prices afloat, and in the event of a $40/mt drop in scrap, mills might be open to deals but there’s “almost zero chance” they will announce a formal price decrease.
As such, current spot price ranges are expected to hold steady at $42.00-$44.00 ($926-$970/mt or $840-$880/nt) ex-mill in the Midwest, and $41.00-$42.00 cwt. ($904-$926/mt or $820-$840/nt) ex-mill on the East coast.
Demand for imports, meanwhile, is getting stronger but many buyers are continuing to stick with domestics. Current US import rebar offers are unchanged week-on-week, at $37.50-$39.50 cwt. ($827-$871/mt or $750-$770/nt) DDP loaded truck in US Gulf ports from Turkey. Offers from Mexico are also stable week-on-week, in the range of $37.00-$38.00 cwt. ($816-$838/mt or $740-$760/nt) DDP Houston.