Following the trend with almost every other steel product in the US, domestic wire rod mills announced varying price increases this week. Liberty Steel announced a price increase of $5.25 cwt. ($116/mt or $105/nt), while Nucor announced an increase of $4.75 cwt. ($105/mt or $95/nt), along with a $0.50 cwt. ($11/mt or $10/nt) size extra on all wire rod diameters below ¼ inch.
Sources tell SteelOrbis that while a portion of the increases will “absolutely” go through, it is not yet clear what the market is willing to absorb. With December order books filled, buyers are expected to seek a “reduced” increase amount in new orders for January, but for now inquiries remain muted. However, any new orders placed at this point will be up at least $2.00-$2.50 wt. ($44-$50/mt or $40-$50/nt), sources say, lifting the average US domestic spot price range anywhere from $31.00-$32.50 cwt. ($683-$717/mt or $620-$650/nt) ex-mill, compared to $29.00-$30.00 cwt. ($639-$661/mt or $580-$600/nt) ex-mill last week.