International Steel Prices
February 16, 2014
No Stability in China Due to “Rebel Mills”
Written by John Packard
Steel Market Update (SMU) received an email from one of our readers regarding his concerns as the iron ore spot prices drop in China and ore inventories rise. The writers belief is that United States flat rolled steel prices will be impacted eventually. This service center executive wondered what our Asian iron ore and steel trading contact felt about the current conditions and if China is entering a brand new “Brave New World” phase.
The service center shared with SMU an article with SMU about the iron ore situation in China and its impact on steel prices. The article’s author states, “I don’t yet have the update on steel mill inventories to gauge how strong any destocking is at present but unless demand materialises soon a price cliff looms.”
