Fundamental Report
Supply-Side Takeaway: Import arrivals continue to indicate elevated levels, while domestic production, although still somewhat restrained, has resumed its upward trend. The global price has now remained stable for three consecutive weeks.
This week’s data: The Domestic – Global HRC price differential notably expanded, surpassing $100 as the domestic spot price jumped up while the global average price held steady. On the imports side, this week’s preliminary estimate for January arrivals continue to indicate an increase from December, and a first look at February’s import levels suggest some easing. Domestic production continued to tick up, resuming its upward trend.
HRC Spot Prices – US Domestic & Global
- The global HRC spot price continued to be relatively unchanged at $636. This week the price change were: -$2 from Korea and -$1 from Europe.
- The Domestic – Global HRC spread expanded, widening to $114.14 from $84.64. This marks the first time above $100 since May 2024.
Total Sheet Imports (s.ton)
- This week’s imports estimated sheet arrivals for February indicate an increase, rising to 896k tons from January’s preliminary estimate figure of 946k.
- The named countries from the filed trade petition represent nearly 80% of the expected total arrivals for coated products in 2024.
Domestic Production (s.ton)
- For the week ending on February 8th, capacity utilization ticked up by 0.8% to 75.2% and domestic raw steel production rose to 1.675m from 1.656m/tpw.
- This brings the year-to-date production to 9.209m, operating at a rate of 74.2%, +0.3% above this point last year.