US wire rod market - Import trend is up while domestics stay put

The pricing trend for import wire rod offers to the US is now strongly up, with a $5 /mt to $10 /mt increase expected to occur in the upcoming weeks. This week however, import offers for mesh grade wire rod still range from $21.50 cwt. to $22.50 cwt. ($474 /mt to $496 /mt or $430 /nt to $450 /nt) FOB loaded truck in US Gulf ports. For drawing quality, import prices remain at a range of $22.50 cwt. to $23.50 cwt. ($496 /mt to $518 /mt or $450 /nt to $470 nt) FOB loaded truck in US Gulf ports. Although the import market is still on the upswing, there is only so far that prices can rise since domestic wire rod prices have not been moving up. Customers are not quite ready for the next level of import pricing, especially not when the domestic prices are not rising. The domestic pricing trend for wire rod remains neutral, with offers still ranging from $26.00 cwt. to $27.00 cwt. ($573 /mt to $595 /mt or $520 /nt to $540 /nt) for low carbon FOB mill, and from $28.50 cwt. to $30.50 cwt. ($628 /mt to $672 /mt or $570 /nt to $610 /nt) for high carbon FOB mill. Some high volume buyers are still getting low carbon wire rods under $26.00 cwt. ($573 /mt or $520 /nt) for their commitment of significant tons. Demand for wire rod, especially mesh grade, is strong and will remain so because of the pull from the domestic construction sector.