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An indelible steel tariff from US President Donald Trump, which does not start for two weeks affects American buyers who already see the cost of American minerals more than imports.
The standard local steel price did not touch more than $ 900 per ton this week, an increase of nearly a quarter of this year, in anticipation of an imminent tax of 25 % on foreign supplies. This increase means that the prices of the United States have now moved above the feet of equality with imported steel, according to active people in the market who asked not to name his name to discuss non -public information.
“What we see so far is to take advantage of the definitions and uncertainty in the customs tariff, and they were able to raise prices so that it is at $ 900 per ton more than it could happen for pricing with a 25 % actual tariff,” said Timna Tanners, an analyst at Wolfe Research. “This is not Trump's desirable result.”
Mineral shipments in the United States flow from all over the world, including goods from Egypt, Algeria, Malaysia, Brazil and Vietnam, according to a person familiar with the flows. The flow comes amid the demand for steel in the United States for anemia, as the high borrowing costs make it a taxpayer to move forward in projects in everything from construction to devices manufacturing.
Trump asked earlier this month a 25 % tariff on steel and aluminum imports, and in this process he announced that he would do all the current exemptions at the country level. The ghost of the protective wall cleared local steel makers like Nucor Corp. And Cleveland-CLIFS Inc. And united states steel Corp and Steel Dynamics Inc. To raise prices.
Recently, five weeks ago, there has been a lot of steel selling at less than $ 700. But by this week, local producers were quoting from their customer prices amounting to $ 1,000, according to people familiar with the situation – levels that have not been seen since the beginning of 2024. The puzzle is that the threats of customs tariffs have raised prices even with no change.
The researcher in the update of the steel market this week said that the local file that is the hot, the normative steel product, is 23 % more expensive than the imported supplies.
Meanwhile, some Canadian steel makers and Mexicans tell customers that they reject new orders. CEO Michael Garcia said that the measures have developed books of the Alguma Steel Group orders in light of “extreme pressure.”
The post Looming Trump Tariffs Make US Steel Too Expensive at Home first appeared on Investorempires.com.