United States, China and other countries a small steel producers are trying to price increases, and restart a number of months ago because of weak demand and the closure of the plant, which may be of some iron and steel prices have early signs of bottoming out.
Is not clear whether the price rose after the maintenance of price increase is not clear because of the increased demand or inventories. But even vendors that steel prices or to impose special levies, usually the client did not oppose or competitors to follow the case then the price down. Troubled car maker, contractors, appliance and equipment manufacturers have already reduced the steel purchases. Over the past few months, most of the closed steel mills are still in shutdown state, many of the world iron and steel factory operating rate less than 50%, the United States recently announced manufacturing new orders index hit its lowest level in six years.
But the steelmaker said the cautious optimism that the demand for parts of the world enough to support prices. Pittsburgh-based AlleghenyTechnologiesInc. That started from the February core silicon steel surcharge will rise 55% to 321 U.S. dollars / short ton (about 0.9 tons 1 short ton). Additional fees are charged in addition to the cost of basic price, usually reflect the cost of materials can be adjusted every month.
Headquartered in Westchester, Ohio, the AKSteelHoldingCorp. Said its core silicon steel shipped in February an additional fee will be raised 10 dollars per short ton, 165 U.S. dollars. The company did not disclose the basis of price, we can not calculate rate increases.
Highest global production of steel maker Arcelor Mittal said on January 13 will be re-opened in Georgetown, South Carolina, the wire rod plant. The Luxembourg-based company in December 5, 2008 Most businesses shut down the plant, lay off 300 people, said that because of weak demand, low prices. Chinese steel makers
several kinds of products have been announced price increase of 5% to 25%. Baosteel Group Co., Ltd. and Anshan Iron and Steel Group said it would raise Hot Rolled Coil Steel prices. Hot rolled steel coil products in processing a variety of basic products. Baosteel has said it would increase the part of the plant output.
In Turkey, due to the resumption of construction demand, domestic production of hot rolled coil prices in January would rise by about 4.5% to 460 U.S. dollars per ton. Japanese steel industry executives have said in the January 6, due to decrease in inventory, manufacturers cut, the steel market is expected to begin around mid-year recovery.
Steel industry is the industry leader in the global economy, because the steel used in commercial building from the appliance to and bridges, and other fields. Iron and steel industry, the proposed price increases and some steel mills started again that the basis of this global industry, some fields may be warmer.
But steel analysts said the market remained generally weak, the plan may be affected by stock prices rather than reduce the demand for increased promotion. According to Moody's Investors Service, said 2009 is likely to remain weak steel demand is expected to slow down the speed and stabilized in the second half 2009. U.S. steel manufacturers expect President-elect Obama's economic stimulus package to stimulate the consumption of steel infrastructure, but to infiltrate this market demand, the steel industry may take a year. Another analyst said that some European countries, the recovery of the steel industry even more distant hope, Germany, Ukraine and Poland's steel mills cut production cuts are still to be reduced to yield the same level of market demand.