SMU Data and Models
April 1, 2021
Steel Mill Negotiations: More of the Same
Written by Tim Triplett
No change to report in the latest Steel Market Update negotiations data. The dynamic between buyers and sellers remains virtually the same. “The mills don’t negotiate at all, and I don’t blame them one bit. Why should they negotiate when there isn’t enough tonnage to go around?” commented one respondent to SMU’s questionnaire this week.
The percentage of buyers who reported some mills willing to negotiate is in the single digits (see the charts below), where it has been since November for most flat rolled products. Price talks for plate are nearly as one-sided in the current environment, with steel prices at historic highs.
