steel roseHot Pink LipsCandle Holder Steel Rose

US Steel Imports Surge, Driven By Price Differentials

Steel imports are expected to hit 3.2 million tons in January, up 23 percent from a year ago, as price differences between U.S. and Chinese steel rose to $159 per ton. At this time last year, U.S. steel cost $19 less than Chinese steel, according to market analysis firm CRU Group.

“It’s the largest first-quarter import order I’ve seen in the last five years,” one unnamed steel trader told the Wall Street Journal. That trader brokers steel purchases between U.S. buyers and foreign sellers.

The surge in imports could impact confidence in major U.S. steel producers like United States Steel Corp. (NYSE:X), AK Steel Holding Corp. (NYSE:AKS) and ArcelorMittal USA Inc., which all report earnings within the next two weeks.

Price-wise, the average U.S. price for a benchmark hot-rolled coil is $676, up 10 percent from a year ago. That compares with the Chinese benchmark price of $540 a ton. Even with shipping costs factored in, foreign steel can end up being 10 percent cheaper, according to Midland Steel Warehouse Corp.’s Howard Allen.

Meet local author of “A Rose on the Steel Ground” Sept. 13

  1. NEW YORK (TheStreet) -- U.S. Steel (X) shares closed trading up 1.29% to $36.14 on Wednesday after a note from analysts at Nomura (NMR) estimated that the company can generate additional earnings of up to $400 million over the next several years.
  2. Ky's book, “A Rose on the Steel Ground” details her struggles while living in Viet Nam; fleeing that country; supporting her family remaining in Viet Nam and eventually landing in Western Washington and, more specifically, the Monroe Post Office, where
  3. BEIJING--China's crude steel output in August rose 1% from a year earlier but fell 0.9% from July to 68.91 million metric tons, the National Bureau of Statistics said Saturday. The level was largely in line with analyst expectations that production

Leave a Reply