Current situation:
- NYMEX domestic hot-rolled coil steel prices (CRU) were $1,660 per ton in June ($1,488 per ton in the last update).
- Producer prices for steel pipe and tube were up 2.7% month-over-month in May (up 7.4% last month) and are still the highest on record. Year-over-year, prices are 29.3% higher (24.4% higher Y/Y last month).
Key factors that could affect supply or price:
- Steel pipe has been climbing at unprecedented levels. Hot-rolled coil prices have climbed even higher. We expect carbon pipe to continue its protracted increase well through the summer. While there is new HRC capacity coming online, there will still be a deficit. Any import supplies coming from China are facing delays due to port closures. Delays of inbound steel into the Guangzhou area is also going to delay output from manufacturers in the region into Q3.
