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Due to the increase in domestic scrap prices and the improvement of the long products market in the Middle East, US mills have raised the price of long products. Last Monday, Guyado Americas took the lead in raising all types of long products by US$30/short ton in July. Then Keystone Steel and ArcelorMittal raised the wire price by US$30/short ton.
Last weekend, the U.S. long steel leader, Nucor Steel Co., announced that it will increase July long steel prices. Nucor's July surcharge for long products will increase by US$15/short ton. Nucor will also raise the base price of H-beam in July by US$15/short ton, and raise the base price of rebar and small profiles by US$5/short ton. This is equivalent to an increase in the ex-factory price of H-beams by US$30/short ton, and an increase in rebars and small sections by US$20/short ton.
It is expected that other U.S. mills will follow Nucor's price increase. If the steel mill price increase is accepted by the market, the spot price of rebar will increase to 690-700 U.S. dollars/short ton, and the small profile price will rise to 870-890 U.S./short ton. H-shaped steel rose to 860-870 US dollars / short ton, the wire rose to 890-910 US dollars / short ton.
Not only did the cost increase support the price increase of US mills, but the long-sale market rebound in some parts of the world also increased the confidence of US steel mills in raising prices. In May, European steelmakers raised the price of long products successfully, while political turmoil in the Middle East tended to remain calm. Demand for long products began to rise in countries such as Turkey and Saudi Arabia, and recent market prices continued to rise.
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