SMU Data and Models
August 6, 2020
Steel Mill Negotiations: Price Talks Tighten
Written by Tim Triplett
Negotiations between buyers and the mills appear to be tightening as steelmakers attempt to firm up prices in response to improving demand. Steel Market Update’s market trends questionnaire this week shows significantly more mills holding the line in price talks on hot rolled, cold rolled and galvanized steel orders compared to earlier in August.
About 40 percent of the hot rolled steel buyers responding to SMU’s poll said the mills are no longer willing to deal on HR. That’s up sharply from just 9 percent two weeks ago. About 60 percent still say the mills are willing to bargain in order to secure an order, however.
