Pricing for US domestic hollow structural section tubing may be stable, but sources close to SteelOrbis are wondering how long prices can hold due to downward price pressure from the domestic hot rolled coil market. The current expectation is that US HRC pricing will not bottom until Q2 2019.
Most sources agree that a correction of current US domestic HSS spot prices, which are trending between $58-$60 cwt. ($1279-$1323/mt or $1160-$1120/nt), ex-mill, is on the horizon.
“Quiet deals are being made, and with HRC drifting downward it’s only a matter of time before tubing prices start to correct,” a source said. “The people who need to buy for jobs that are booked later in the year are holding off on buying because they think that prices are going to come down.”