Global HRC: US price falls below Chinese price

A look at hot-rolled coil prices around the globe.

Blip or paradigm shift? Prices for hot-rolled coil in the United States last month fell below those in China for the first time since at least 2013. The reversal of normal trends - Chinese prices are typically well below US levels - resulted from US domestic tags plummeting in July while Chinese prices recorded a third consecutive month of gains. The move has made it possible for US mills to export HRC beyond traditional export markets in Canada and Mexico, some sources said. Fastmarkets’ steel hot-rolled coil index, fob mill US averaged $460.60 per short ton ($23.03 per hundredweight) in July, down by 7.8% from an average $499.40 per ton in June and its lowest since averaging $415.20 per ton in March 2016. In contrast, the price assessment for steel hot-rolled coil domestic, exw Northern China averaged $486.94 per tone in July, up by 4.7% from $465.27 per ton in June and representing a 5.7% premium to US prices. HRC prices in Europe remain below those in the United States but - unlike domestic tags - have been trending upward. Fastmarkets’ steel hot-rolled coil index, exw Northern Europe averaged $433.99 per ton last month, up by 7.6% from $403.28 per ton in June - perhaps as a result of tighter import safeguards in the European Union and successful price increases.

What to read next
General Motors (GM) is investing $650 million to develop the Thacker Pass mine in Nevada, the largest known source of lithium in the US and the third largest in the world
Electrolysis processes developed by Boston Metal and Electra that eliminate the need for coal in steel production could be key to a net-zero emissions future for the metallics industry, attendees learned at Fastmarkets’ conference on January 17-19 in Dallas
Low supply, strong demand to spur scrap prices higher in Feb, market says
US deep-sea ferrous export prices from the East Coast to Turkey have plateaued, with a Turkish mill purchasing a cargo at prices stable from the last-reported sale
The current shortage of some higher purity grades of aluminium, such as P0610, and the robust demand for units should maintain the higher differential to prices for P1020-grade aluminium, market sources told Fastmarkets on Monday January 30
We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.