SMU Data and Models
January 24, 2019
Steel Mill Negotiations: Even Plate Mills Talking Price
Written by Tim Triplett
Halfway through the first month of the year, buyers report that most mills are willing to talk price to secure the order. Even price negotiations with plate mills are beginning to loosen up.
Nearly half (47 percent) of plate buyers responding to Steel Market Update’s market trends questionnaire this week said suppliers are now open to price negotiations on plate orders, up from 29 percent at the beginning of the year. That’s a significant change as the mills were in the power position for most of last year with lead times extended and customers on allocation. As with other products, lead times for plate have begun to shorten as demand wanes while the market pauses to see if steel prices have bottomed.
