American steel company Nucor has announced a new price increase for steel products, including thick plate and hot-rolled coil (HRC).
In a letter to customers, the company specified that the price of thick plate will increase by $30 per short ton for all new orders not confirmed by the end of the business day on November 24. This increase is related to the opening of the order book for January and continues the upward price trend that Nucor has been demonstrating in the fall.
The previous increase in September was $60/t, after which other producers also announced similar steps. According to SMU, the average market price for thick plate is now $1,015/t, which is $55 more than the low at the end of September.
The company also raised its weekly spot price (CSP) for hot-rolled coil by $5/t, for the fifth consecutive week. The spot price is now $915/t, up from $910/t a week earlier. At the same time, Nucor’s West Coast joint venture, California Steel Industries (CSI), also increased its HRC quotes to $965/t, up $15/t from last week.
The average price of HRC in the US as of November 18 was $860 per short ton FOB, showing an increase of $30/t per week. Analysts note that the market supports price growth due to stable demand and controlled supply.
Delivery times for HRC remain within 3-5 weeks, indicating steady plant utilization and positive sentiment in the US domestic market.
It should be recalled that at the end of September and in October, the global hot-rolled coil market showed opposite trends in the main regions.
European prices rose under the influence of expected trade protection measures. The US saw prolonged stability amid weak demand, while China again lowered its prices due to excess inventories and uncertainty about the recovery of the industry.
