Prices for imported flat steel products have declined further or remained low over the past two weeks, and buyers in the United States have shown renewed interest in booking foreign products for the first time since domestic prices began falling this year, sources said.
The biggest reason for such sudden interests in offshore products is the expectation that domestic flat-rolled mills may be able to raise prices significantly during the first quarter of 2020, according to sources. Market participants saw the most recent $40-per-short-ton ($2-per-hundredweight) price increase announcement by several domestic sheet mills as an effort to stop prices from sliding further.With domestic flat-rolled prices approaching a floor, mills are busy making year-end deals with buyers in order to extend their lead times into next year, sources said. Once the mills achieve that goal, they will be able to raise their prices substantially during the first quarter - a period when prices tend to be higher and demand is usually better. As a result, offshore products - which have a delivery time of approximately three months, depending on the country of origin - being offered at prices below...