US domestic wire rod buyers are reporting to SteelOrbis that they are in a “much better position” in terms of price negotiations with mills compared to early last week, right before the US DOC announced an investigation into the spike in US steel prices since Section 232 tariffs were announced. Since the announcement, sources report US domestic wire rod mills are no longer aggressively pushing for higher prices, leaving spot prices relatively stable week-on-week.
However, some sources report that because of US wire rod’s unique standing in the overall long product market—including less-robust demand levels and more vulnerability to price downtrends—it is “very likely” that customers will be able to erode some of the pricing gains mills have achieved over the last few months. While an official price decrease announcement is “extremely unlikely,” the collective result of several individual deals could bring the general price range down in the coming weeks.
Until then, US domestic wire rod prices are stable this week in the range of $40.00-$41.50 cwt. ($800-$830/nt or $882-$915/mt) ex-mill.