US steel import permits in October up by 16pct MoM

Thursday, 05 Nov 2009

Based on the US Commerce Department’s most recent Steel Import Monitoring and Analysis data, the American Iron and Steel Institute reported that steel import permit applications for the month of October totaled 1,491,000 net tons. This was a 16% increase from the 1,283,000 permit net tons recorded in September 2009 and a 24% increase from the September preliminary imports total of 1,204,000 net tons.

Import permit tonnage for finished steel in October was 1,187,000 net tons, which was also an increase of 16% from the preliminary imports total of 1,024,000 NT in September.

October 2009 total and finished steel import permit tons would annualize at 15,942,000 net tons and 14,374,000 net tons, down 50% and 45%, respectively, from the 31,927,000 net tons and 25,956,000 net tons imported in 2008

In October 2009, the largest finished steel import permit applications for offshore countries were for
1. South Korea - 116,000 net tons up by 80% MoM
2. Japan - 94,000 net ton up by 85% MoM
3. Turkey - 69,000 net ton up by 507% MoM
4. The Netherlands - 68,000 net ton up by 192% YoY
5. China - 56,000 net ton up by 35% MoM

Finished steel import market share in October is estimated at 18% and at 22% YTD.

Finished steel import permits for major product categories that registered significant increases in October vs. the September preliminary include wire rods (up 50%), line pipe (up 40%), oil country goods (up 39%) and hot rolled bars (up 39%).

Thomas J. Gibson president and CEO of AISI said “With utilization rates for domestic steel and U.S. manufacturing more broadly remaining at very low levels, stronger government efforts are needed to defend and enforce our trade laws and trade agreements, and to counter foreign unfair trade practices both in the US market and in third country markets. This is why AISI commends Senators Sherrod Brown (D-OH), Debbie Stabenow (D-MI), Carl Levin (D-MI), Russell Feingold (D-WI) and Arlen Specter (D-PA) for their recent introduction of a new ‘Super 301’ bill, which will help level the international trade playing field for American manufacturers. Passage of this bill is an essential step toward enhanced U.S. government enforcement efforts to identify and eliminate priority foreign unfair trade practices, which are continuing to undermine our domestic manufacturing base.””