On February 19, US domestic HSS producers announced yet another $2.50 cwt. ($55/mt or $50/nt) price increase, which brought spot market prices to $76.50-$78.00 cwt. ($1,687-$1,720/mt or $1,530-$1,560/nt), FOB mill. Since that time, multiple sources close to SteelOrbis have asked the all-too-obvious question, of “how much higher can prices go.”
The answer to that question, as of today, appears to be “at least $6.25 cwt. ($138/mt or $125/nt) higher.” Earlier today, US domestic tube mills announced their latest price increase, which, if accepted, will bring US domestic HSS tubing spot market prices to an astounding $82.75-$84.75 cwt. ($1,824-$1,868/mt or $1,655-$1,695/nt), FOB mill.
The increase is attributed to higher scrap and HRC prices.
“Things are getting really out of hand at this point,” a source said. “Prices are higher than they’ve ever been and at some point this fever pitch is going to have to come to an end.”