Final Thoughts
November 27, 2013
Final Thoughts
Written by John Packard
The question being asked is once the sale of the ThyssenKrupp Steel USA plant in Calvert, Alabama is closed and ownership transfers to the ArcelorMittal (AM) and Nippon Steel Sumitomo Metals Corporation (NSSMC) joint venture what impact will it have on the flat rolled steel markets?
My opinion is the immediate impact will mostly be psychological in nature as buyers and sellers of steel try to read into the transaction. Initial reactions I have heard range from an expectation of an immediate price increase to at least a continued firming of the current pricing structure. Since the deal will not close until sometime during the second quarter 2014 it is perhaps a bit premature to expect conditions to immediately change at TK USA.
