AIIS: U.S. Steel Imports Decline for First Time in Three Months
01/02/2015 - U.S. steel imports fell by more than 18% in November, marking the first decline in three months, according to analysis from the American Institute for International Steel (AIIS).
While November’s 3.63 million net tons of imports were 18.2% lower than the October total, they were still more than 40% higher than in November 2013. Imports from Brazil showed the largest decline from October, falling nearly 39% to 396,000 net tons. The United States’ North American Free Trade Agreement (NAFTA) partners also recorded decreases, almost 26% to 263,000 net tons from Mexico, and nearly 14% to 471,000 net tons from Canada. Imports from both countries remained above their levels from a year earlier, though. China, Russia, and South Korea also showed sharp month-to-month decreases while staying above the levels of a year earlier. Imports from the European Union, however, increased 17.3% from October – and 70.6% from last November – to 713,000 net tons.
Notwithstanding the November dip, year-to-date imports of 40.64 million net tons are more than 37% higher than the first 11 months of 2013. Imports from Russia have led all countries in growth, with purchases of steel from that nation swelling more than two-and-a-half-fold to 4.31 million net tons this year. Imports from the E.U. have jumped 45.6% to 6.46 million net tons, while South Korea has sold 44% more steel to the U.S. this year, bringing its total to 5.06 million net tons. Imports from China are up 68.5% on the year, Brazil 21.5%, Mexico 17.4%, and Canada 9%.
Semi-finished imports increased 11.4% over last November to 756,000 net tons. Year-to-date, they are up by nearly one-third to 8.91 million net tons.
No one should be surprised that the United States is importing much more steel this year, AIIS said. As The Wall Street Journal noted on 24 December 2014, the economy is gaining momentum, growing at a 5% seasonally adjusted annual rate in the third quarter, its most robust advance in 11 years. Economic growth spurs demand for steel. With domestically produced steel selling at much higher than global prices, expansion-minded companies naturally are looking to buy beyond the border. This value-oriented approach maximizes efficiency, frees up more money for capital investment, job growth, and wage increases, and promotes continued economic expansion, AIIS said.
The American Institute for International Steel is the only steel-related association that supports free trade. The Institute accomplishes its mission through advocacy, networking, communications, and education.
Notwithstanding the November dip, year-to-date imports of 40.64 million net tons are more than 37% higher than the first 11 months of 2013. Imports from Russia have led all countries in growth, with purchases of steel from that nation swelling more than two-and-a-half-fold to 4.31 million net tons this year. Imports from the E.U. have jumped 45.6% to 6.46 million net tons, while South Korea has sold 44% more steel to the U.S. this year, bringing its total to 5.06 million net tons. Imports from China are up 68.5% on the year, Brazil 21.5%, Mexico 17.4%, and Canada 9%.
Semi-finished imports increased 11.4% over last November to 756,000 net tons. Year-to-date, they are up by nearly one-third to 8.91 million net tons.
No one should be surprised that the United States is importing much more steel this year, AIIS said. As The Wall Street Journal noted on 24 December 2014, the economy is gaining momentum, growing at a 5% seasonally adjusted annual rate in the third quarter, its most robust advance in 11 years. Economic growth spurs demand for steel. With domestically produced steel selling at much higher than global prices, expansion-minded companies naturally are looking to buy beyond the border. This value-oriented approach maximizes efficiency, frees up more money for capital investment, job growth, and wage increases, and promotes continued economic expansion, AIIS said.
The American Institute for International Steel is the only steel-related association that supports free trade. The Institute accomplishes its mission through advocacy, networking, communications, and education.
