Cheap imports and falling demand from major consumers such as China have led to a third consecutive week of losses for steel billet.

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Imports rose 33% in January and a strong US  dollar and weak Russian ruble mean the trend will continue.

The week’s biggest mover on the weekly Raw Steels MMI® was the steel billet 3-month price, which saw a 16.4% decline on the LME to $305.00 per metric ton. This week marked the third in a row of declining prices for the metal. For the third week in a row, the cash price of steel billet dropped, falling 14.1% on the LME to $305.00 per metric ton.

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Chinese steel prices were mixed for the week. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.90) and a low price of CNY 445.00 ($71.10) per dry metric ton. Chinese HRC prices ticked up 1.6% over the past week to CNY 2,530 ($403.23) per metric ton. Chinese coking coal prices held steady from the previous week at CNY 1,080 ($172.57) per metric ton. Chinese slab traded sideways last week, hovering around CNY 2,460 ($392.07) per metric ton.

The US HRC futures contract spot price fell 5.3% over the past week to $500.00 per short ton. This was the fourth week in a row of declining prices. The US HRC futures contract 3-month price fell 0.8% over the past week to $515.00 per short ton. This was the fourth week in a row of declining prices. After a 0.4% decline, US shredded scrap closed out the week at $246.00 per short ton.

Korean steel prices were flat for the week. Korean steel scrap remained essentially flat from the previous week at KRW 144,000 ($129.51) per metric ton. Closing at KRW 530,000 ($482.17) per metric ton, Korean pig iron remained unchanged for the week.

The Raw Steels MMI® collects and weights 13 global steel and raw material price points to provide a unique view into global steel price trends. For more information on the Raw Steels MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.

Severstal and Novolipetsk Steel are paying wages and other costs, including transportation, in devalued rubles while earning dollars or euros for exported steel. That’s allowing them to undercut rivals like ArcelorMittal, the world’s largest steelmaker, while maintaining profitability.

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“This is fantastic time for the Russian steel industry,” Kirill Chuyko, head of equity research as BCS Financial Group told Bloomberg News. “Most of the companies are enjoying the best profitability since the 2007 and 2008 pre-crisis commodity boom due to the ruble’s decline.”

Even before the ruble’s 47% decline last year, the industry was in good health. Output in 2014 reached the highest since the global financial crisis as demand at home was high and started to recover in European export markets. Russia’s steelmakers have invested billions in upgrading Soviet-era mills, and the nation produces more than any other country in Europe, one of its main export markets.

Now, the ruble’s slide has cut costs for Russian mills by almost half in dollar terms. Making hot rolled coil, a benchmark product, now costs $244 to $250 a metric ton in Russia compared with $405 per ton in Brazil and $434 per ton in China, according to CRU Group, an industry consultant.

The 3-month price of the US HRC futures contract experienced the biggest price decline of the day, dropping 1.0% to close at $510.00 per short ton on Tuesday, March 3. The US HRC futures contract spot price fell to a 30-day low at $500.00 per short ton after shifting 0.6%.

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Chinese steel prices were flat for the day. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.90) and a low price of CNY 445.00 ($71.10) per dry metric ton. Chinese HRC held its value yesterday at CNY 2,530 ($403.11) per metric ton. For the fifth consecutive day, the price of Chinese coking coal held flat at CNY 1,080 ($172.57) per metric ton.

Also on the LME, the steel billet cash price saw little change in its price yesterday at $305.00 per metric ton. On the LME, the 3-month price of steel billet held steady around $305.00 per metric ton.

US steelmakers slashed prices in February to cope with a flood of steel imports bolstered by the strong dollar, a move that will pressure their profit margins and reduce costs for buyers of steel, including automakers.

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Imports rose 33% in January compared with the year before, according to figures released Wednesday by the American Iron and Steel Institute, reaching 3.85 million tons, compared with 2.9 million tons a year earlier. The jump in imports comes as oil and gas drillers cancel orders for steel pipe, underscoring the resilience of overall US demand compared with other markets.

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Chinese steel prices were mixed for the day. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.90) and a low price of CNY 445.00 ($71.10) per dry metric ton. Chinese slab finished the day down 0.4% to CNY 2,460 ($393.07) per metric ton. Chinese HRC stayed flat at around CNY 2,530 ($404.26) per metric ton.

The cash price of steel billet remained essentially flat on the LME at $305.00 per metric ton. The 3-month price of steel billet flattened at $305.00 per metric ton after two days of downward movement on the LME.

US HRC futures contract spot saw its price drop 4.4% to a 30-day low of $503.00 per short ton yesterday. The US HRC futures contract 3-month price rose 1.0% on Monday, just off the 30-day low of $515.00 per short ton it hit on Thursday, February 26.

A federal judge last week dismissed Nucor‘s lawsuit against Big River Steel, saying it couldn’t use the court system to bypass Arkansas state regulators who had already given the rival permission to build a new mill in Osceola, Ark.

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US District Judge Leon Holmes ruled the lawsuit by Nucor seeking to halt construction of the Big River Steel mill is not authorized under the citizen lawsuit provision of the federal Clean Air Act. He said his court has no jurisdiction over the case.

Nucor, which has a steel mill in nearby Blytheville has opposed construction of the $1.3 million Big River mill about 20 miles away.

Big River attorney Martin Booher released a statement from the company saying it is pleased with Holmes’ ruling and that

The cash price of steel billet closed as the biggest mover for Friday, February 27. Switching from a downward trend, the metal closed at $305.00 per metric ton following a 1.7% increase. The steel billet 3-month price weakened by 1.6% on the LME, settling at $305.00 per metric ton.

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Chinese steel prices were mixed for the day. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.93) and a low price of CNY 445.00 ($71.13) per dry metric ton. After hitting a 30-day low of CNY 2,530 ($404.39) per metric ton on Wednesday, February 25, the price of Chinese HRC rose 1.6% last Friday. The price of Chinese slab increased 0.4% to CNY 2,470 ($394.80) per metric ton.

The US HRC futures contract 3-month price held steady around $510.00 per short ton. After a couple of days of decreasing prices, the US HRC futures contract spot price held steady at $526.00.

U.S. Steel said yesterday that it plans to close its Gary Works coke plant in Gary, Ind., in May, displacing about 300 workers. It will mark the end of a coke-making era at the steel plant that once operated several coke batteries.

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U.S. Steel spokeswoman Courtney Boone said the company notified United Steelworkers of America officials on Wednesday of the permanent shutdown. She said it was a strategic decision based on market conditions and the company’s long-term coke strategy.

It’s unclear where the Gary Works steel production facilities will obtain coke once the plant closes. A little more than a year ago, U.S. Steel CEO Mario Longhi said the company would apply for permits to replace its blast furnace at a plant in Fairfield, Ala, with an electric arc furnace. Longhi said the switchover from costly blast furnaces to scrap-fed EAFs would make the company more flexible and efficient in the long run. U.S. Steel also recently completed a $1.2 billion coke plant upgrade at its Clairton Works, in Clairton, Pa. and shipping coke from there could be an option for the Gary Works.

The cash price of steel billet on the LME closed at $300.00 per metric ton on Thursday, February 26. Also on the LME, the 3-month price of steel billet closed at $310.00 per metric ton.

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Chinese steel prices were flat for the day. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.90) and a low price of CNY 445.00 ($71.10) per dry metric ton. The price of Chinese HRC held steady at CNY 2,490 ($397.84) per metric ton. For the fifth consecutive day, the price of Chinese coking coal held flat at CNY 1,080 ($172.56) per metric ton.

The 3-month price of the US HRC futures contract fell 1.7% to a 30-day low of $510.00 per short ton on Thursday. The US HRC futures contract spot price reached a 30-day low after decreasing 0.4% to $526.00 per short ton.

China Steel Corp. (CSC), China’s only integrated steelmaker, announced bigger price cuts of 5.2% on average for its products in April and May, taking its cue from the persistent downward spiral of global steel prices as decelerating economic recovery and oversupply curtail demand.

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The price reduction is the steepest over the past six months, according to the information posted on the company’s website.

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Chinese steel prices were flat for the day. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($72.02) and a low price of CNY 445.00 ($71.22) per dry metric ton. The price of Chinese HRC held steady at CNY 2,490 ($398.51) per metric ton. For the fifth day in a row, the price of Chinese coking coal remained essentially flat at CNY 1,080 ($172.85) per metric ton.

After falling 0.4% to $528.00 per short ton, the US HRC futures contract spot price reached a 30-day low. The 3-month price of the US HRC futures contract saw little price change on Wednesday at $519.00 per short ton.

Large volumes of steel imports, together with collapsing oil prices, led to cuts in US domestic steel production this week.

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Steel scrap was flat for the week although there’s little optimism that its big fall will be reversed soon. Morningstar also joined other analysts in predicting another difficult year for steel prices.

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Chinese steel prices were flat for the week. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($72.02) and a low price of CNY 445.00 ($71.22) per dry metric ton. Chinese HRC traded sideways last week, hovering around CNY 2,490 ($398.51) per metric ton. Following a steady week, prices for Chinese coking coal closed flat at CNY 1,080 ($172.85) per metric ton. Closing at CNY 2,460 ($393.71) per metric ton, Chinese slab remained unchanged for the week.

At $519.00 per short ton, the US HRC futures contract 3-month price finished the week down 3.0%. Closing out the third week of declining prices, the spot price of the US HRC futures contract dropped by 0.4%, finishing at $528.00 per short ton. At $247.00 per short ton, the price of US shredded scrap did not change since the previous week.

Korean steel prices were mixed for the week. Korean steel scrap finished the week at KRW 144,000 ($129.51) per metric ton after falling 3.4%. At KRW 530,000 ($476.67) per metric ton, the week finished with no movement for Korean pig iron.

The Raw Steels MMI® collects and weights 13 global steel and raw material price points to provide a unique view into global steel price trends. For more information on the Raw Steels MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.

Large volumes of steel imports, together with collapsing oil prices, have led to cuts in US domestic steel production. However, these have not been sufficient to stem the continual, month-on-month, decline in flat product transaction values.

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Buyers are reluctant to make large purchases as figures trend downwards, Commodities Now reports. The volumes of unsold foreign material at the docks are climbing. Some of this steel is now priced above current domestic levels as local steelmakers have responded to the import threat.

On Tuesday, February 24, the day’s biggest mover was the steel billet 3-month price, which saw a 1.4% increase on the LME to $375.00 per metric ton. This increase comes after the price fell for the two previous days. Following a 1.4% rise yesterday, the cash price of steel billet closed on the LME at $375.00 per metric ton.

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Chinese steel prices were flat for the day. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.91) and a low price of CNY 445.00 ($71.11) per dry metric ton. The price of Chinese HRC continues hovering around CNY 2,490 ($397.91) per metric ton for the fifth day in a row. The price of Chinese coking coal saw essentially no change for the fifth day in a row, remaining around CNY 1,080 ($172.59) per metric ton.

The 3-month price of the US HRC futures contract flattened at $519.00 per short ton after two days of downward movement. The spot price of the US HRC futures contract showed little movement on Tuesday at $530.00 per short ton.

Big drops in steel prices and lower demand for oil and gas are leading Worthington Industries Inc. to warn of quarterly earnings “significantly below” last year’s.

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The Columbus, Ohio-based metal processor said steel prices have dropped more than $100 a ton since mid-December. That, coupled with a major softening of demand in agriculture and oil and gas, factor in the $3.4 billion company’s announcement.

The day’s biggest mover was the steel billet 3-month price which dropped by 7.5% on Monday, February 23 to close at $370.00 per metric ton on the LME. Also on the LME, the cash price of steel billet fell 7.5% to $370.00 per metric ton.

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Chinese steel prices were flat for the day. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.96) and a low price of CNY 445.00 ($71.16) per dry metric ton. The price of Chinese HRC saw essentially no change for the fifth day in a row, remaining around CNY 2,490 ($398.19) per metric ton. For the fifth day in a row, the price of Chinese coking coal remained essentially flat at CNY 1,080 ($172.71) per metric ton.

After falling 1.1% to $519.00 per short ton, the 3-month price of the US HRC futures contract reached a 30-day low. The spot price of the US HRC futures contract saw little change in its price on Monday at $530.00 per short ton.

With US GDP, construction spending, and industrial activity all on the upswing, one might think that 2015 is shaping up to be a banner year for the steel sector.

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However, with weak crude prices undercutting demand from the energy sector and a wave of imports washing ashore, that’s unlikely to be the case. Morningstar‘s Andrew Lane expects 2015 to mark a cyclical trough as spot prices fall and capacity utilization remains unfavorable.

The steel billet cash price saw the biggest decline of the day, dropping 3.6% on the LME to close at $400.00 per metric ton on Friday, February 20. The steel billet 3-month price saw a 1.2% decline on the LME to $400.00 per metric ton.

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Chinese steel prices closed flat for the day. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.93) and a low price of CNY 445.00 ($71.13) per dry metric ton. The price of Chinese HRC remained essentially flat at CNY 2,490 ($398.01) per metric ton. The price of Chinese coking coal saw little movement at CNY 1,080 ($172.63) per metric ton.

US HRC futures contract 3 month saw its price drop 1.5% to a 30-day low of $525.00 per short ton last Friday. The US HRC futures contract spot price saw little change in its price last Friday at $530.00 per short ton.