American steelmaker Nucor has announced another increase in its spot price (CSP) for hot rolled coil (HRC). Starting February 10, 2025, the base price will be $790 per short tonne for all of the company’s production facilities, except for California Steel Industries (CSI), where the price has reached $850 per tonne. This is the third increase since the beginning of the year, reflecting the tense market situation and attempts to test consumers.

The price increase is likely to be driven by the revival of market activity and the adoption of new trade tariffs by the Trump administration. In particular, starting from March 12, 2025, the US will impose a 25% duty on all imports of steel and aluminum into the country without any exceptions or exemptions. The duties will apply, in particular, to products originating in Canada, Brazil, Mexico, South Korea and other countries that have been supplying their products to the United States duty-free under exemptions.

In recent weeks, the market has been in a state of uncertainty: the previous increase in HRC prices to $775/mt was only a week ago. Prior to that, Nucor raised its quotes by $10, and now it has added another $15. Such dynamics indicate the company’s attempt to maintain margins in the face of possible rising production costs and changes in supply chains.

The company noted that order fulfillment terms will remain within 3-5 weeks.

Industry experts note that the key factor in further dynamics will be the reaction of end users.

As GMK Center reported earlier, in 2024, US steelmakers increased imports of rolled steel by 3.7% compared to 2023, up to 22.5 million tons. Total steel imports (rolled products and semi-finished products) increased by 2.5% y/y – to 28.86 million tons over the year.

Courtesy: https://gmk.center/