Metals Shipment Declines Ease Slightly in U.S., Canada
04/20/2009 - Although metals service centers shipments in the U.S. and Canada continued their decline in March, the rate of decline was not as great as during the first two months of the year, according to the latest Metals Activity Report from the Metals Service Center Institute.
Although metals service centers shipments in the U.S. and Canada continued their decline in March, the rate of decline was not as great as during the first two months of the year, according to the Metals Activity Report from the Metals Service Center Institute. The report indicted the slowing decline was especially true for Canadian steel shipments, which were down 25.5% in March (vs. March 2008) as compared to February shipments that were down 42.1% (vs. February 2008).
According to the report, steel shipments from U.S. metals service centers totaled 2.59 million tons in March, 39.2% below the volume in March 2008. This compares with a 43.3% year-over-year decline in February. For the first quarter of 2009, U.S. shipments (7.6 million tons of steel) are off 41.8% from the 2008 quarter.
At the end of March, U.S. steel inventories totaled 7.84 million tons, 22.3% below the year-earlier total. At current shipping rates, inventories are equal to a 3.0-month supply.
Canadian metals service centers shipped 445,600 tons of steel products during March, down 25.5% from March 2008 shipments. This compares with the February decline in steel shipments of 42.1% vs. year-earlier totals. First-quarter volume of 1.23 million tons is down 35.6% from the 2008 quarter.
At the end of March, Canadian service center steel inventories totaled nearly 1.17 million tons, 30.5% lower than a year ago. At current shipping rates, inventories are equal to a supply adequate for just 2.6 months.
Aluminum product shipments from U.S. metals service centers totaled 87,300 tons in March, or 41.6% lower volume than in March 2008. By comparison, February shipments were down 45.9% from year-earlier totals. First-quarter U.S. aluminum shipments (261,500 tons) were 43.6% lower than the year-earlier quarter.
At the end of March, aluminum inventories totaled 322,300 tons, 31% below year-earlier totals and, at current shipping rates, equal to a supply of 3.7 months of the metal.
In Canada, aluminum shipments totaled 11,100 tons, or 25.5% lower than March 2008. First-quarter shipments of 32,900 tons are down 24.8%, year over year. Inventories at the end of the month of 32,000 tons are 20.9% below those of a year ago and, at current shipping rates, equal a 2.9-month supply.
The Metals Activity Report (MAR), based on data from metals service centers in the United States and Canada, is produced by the Metals Service Center Institute and a third-party econometrics and strategy firm, McCoy, Scott & Co.
Founded in 1909, the Metals Service Center Institute has more than 400 members operating from about 1200 locations in the U.S., Canada, Mexico, and elsewhere in the world. Together, MSCI members constitute the largest single group of metals purchasers in North America, amounting each year to more than 55 million tons of steel, aluminum, and other metals, with about 300,000 manufacturers and fabricators as customers. MSCI’s membership also includes most ferrous and non-ferrous industrial metals producers in North America. Metals service centers inventory and distribute metals and provide first-stage fabrication services.
Founded in 1909, the Metals Service Center Institute has more than 400 members operating from about 1,200 locations in the U.S., Canada, Mexico, and elsewhere in the world. Together, MSCI members constitute the largest single group of metals purchasers in North America, amounting each year to more than 55 million tons of steel, aluminum, and other metals, with about 300,000 manufacturers and fabricators as customers. MSCI’s membership also includes almost all ferrous and non-ferrous industrial metals producers in North America. Metals service centers inventory and distribute metals and provide first-stage fabrication services.
