As US Steel Companies Lobby Against Imports, LME Billet Price Drops

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After Elkay Manufacturing “won” on the anti-dumping front recently (with the International Trade Commission [ITC] approving considerable duties on stainless steel sinks from China), steel industry folks were back in Washington, D.C., making their cases against China – but also against the ITC.

Edward Kurasz, an executive vice president at Allied Tube & Conduit, told Congress to reform the ITC, since the body refused to pass anti-dumping legislation to raise duties on galvanized steel wire and circular weld pipe from foreign nations, according to Reuters.

John Ferriola, Nucor‘s president, also spoke on Capitol Hill, quoted as saying that last year, steel imports from China have risen 17 percent from 2011 and 38 percent from 2010. Both Ferriola’s and Kurasz’s beefs primarily had to do with the subsidized nature of China’s government-owned-and-run steel industry.

If China’s making 35% more steel than it needs domestically, why should it be pumping cheap imports into other countries, such as the US?

Current Steel, Coking Coal and Iron Ore Prices

The steel billet 3-month price experienced the biggest price decline of the day on our MetalMiner IndX, dropping 6.0 percent on the LME to close at $235.00 per metric ton on March 21, 2013. The cash price of steel billet climbed 4.9 percent on the LME to $215.00 per metric ton.

today's metal prices - MetalMiner IndXChinese steel prices closed flat for the day. The price of iron ore 58% fines from India remained rangebound. Chinese HRC stayed flat. The price of Chinese coking coal was unchanged.

At $625.00, the US HRC futures contract 3-month price finished the market day up 0.8 percent per short ton. The US HRC futures contract spot price remained essentially flat at $609.00 per short ton.

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