US structural tubing prices slip; restocking said imminent

Prices for structural tubing produced in the United States weakened for a fourth time in the past six weeks, with some distributors reporting preparations to stock up on material.

After operating for months on the thinnest of inventories, tubing distributors acknowledged that they will soon need to make restocking commitments. They are waiting for electric-resistance welded (ERW) prices to fall perhaps a little bit lower and also for the strike by United Autoworkers union members at General Motors Co's US operations to end. The labor action has helped drive hot-rolled coil prices to a nearly three-year low.  "It is definitely trending down and getting uglier and uglier," a Southern distributor said. "With the holidays coming, people are treading lightly on inventories, with what's going on with the coil." Fastmarkets' price assessment for steel hollow sections ASTM A500 Grade B domestic, fob mill US, was at $830-850 per short ton ($41.50-42.50 per hundredweight) on Thursday October 10, down by 1.2% from $840-860 per ton...

Published

Dom Yanchunas

October 11, 2019

21:44 GMT

New York