This morning in metals news, a trade association looks to raise money to support its lawsuit against the Section 232 steel tariff, Honda’s quarterly earnings hit a 12-year high and the oil price’s recent dip may just be temporary.
American Institute for International Steel Seeks Funding for Lawsuit
The American Institute for International Steel is looking for funding from its members to support its lawsuit against the Section 232 tariff on steel, the Times of Northwest Indiana reported.
The trade association filed the lawsuit in late June, arguing the Section 232 statute is unconstitutional.
Honda Avoids Tariff Effect … For Now
Honda reported its quarterly earnings Tuesday, revealing profits soared to a 12-year high, Reuters reported.
In the U.S. market, Honda touted its local sourcing efforts to keep costs down (as others struggle with rising materials costs).
“Roughly 90 percent of our steel and aluminum needs in the United States are procured locally,” Honda Senior Managing Director Kohei Takeuchi was quoted as saying. “Overall we’re not seeing a big impact (from tariffs) so far.”
What’s Going on With the Oil Price?
As MetalMiner Executive Editor Lisa Reisman noted during last week’s MetalMiner Budgeting Workshop, the oil price is one of a few crucial factors in considering future price fluctuations of metals.
According to oilprice.com, WTI crested $70/barrel for the first time in two weeks. The recent slide in oil prices could be temporary, the report argues.
And as Reisman noted last week, rising oil prices generally correlate with rising metals prices.