Thursday, July 30, 2009
Steel Companies trying to raise steel prices
I was surprised to find this in my inbox today. Raising prices in this economy? Whatever are the steel mills thinking?
A very slow, very tentative recovery just might be leaving the train station in the next 3 months. Let's do everything we can to just nip that in the bud by raising prices into a slow, painful, crippled recovery!
FROM MEPS
Major steelmakers in the US have announced a series of transaction price hikes over recent weeks for strip mill products. These are steadily being implemented. There is little import competition to prevent further increases being applied. Certainly, distributors are keen for the proposed rises to take hold as they will produce benefits in terms of stock valuation. Nevertheless, market players are concerned that the price recovery might not be sustainable if the mills prematurely restart idled facilities. Service centre business is still down by 40/50 percent with only a small percent increase in activity, most probably due to the price advances. The economy remains depressed, leading to a persistently low level of steel consumption.
Canadian transaction values have bottomed, prompting us to record a number of rises this month. The domestic mills believe that destocking may be complete.
A very slow, very tentative recovery just might be leaving the train station in the next 3 months. Let's do everything we can to just nip that in the bud by raising prices into a slow, painful, crippled recovery!
FROM MEPS
Major steelmakers in the US have announced a series of transaction price hikes over recent weeks for strip mill products. These are steadily being implemented. There is little import competition to prevent further increases being applied. Certainly, distributors are keen for the proposed rises to take hold as they will produce benefits in terms of stock valuation. Nevertheless, market players are concerned that the price recovery might not be sustainable if the mills prematurely restart idled facilities. Service centre business is still down by 40/50 percent with only a small percent increase in activity, most probably due to the price advances. The economy remains depressed, leading to a persistently low level of steel consumption.
Canadian transaction values have bottomed, prompting us to record a number of rises this month. The domestic mills believe that destocking may be complete.
Labels: steel
Friday, July 17, 2009
America Needs a National Manufacturing Policy. Now.
From the Huffington Post, Sen. Sherrod Brown:
Not too long ago, the ticket to the middle class was straightforward. Work hard, play by the rules, and you'll have something to show for it -- a good wage, a secure job and home, and a solid pension.
Our nation -- and economy -- relied on workers around Ohio to build cars and appliances, to lay down rail lines and highways. Their work put them squarely in the middle class. Their work -- and a thriving manufacturing industry -- turned our nation into an economic superpower.
Job loss and wage stagnation figures reflect a decade's long decline in U.S. manufacturing, a decline that has shattered the American dream for millions of Americans.
Not too long ago, the ticket to the middle class was straightforward. Work hard, play by the rules, and you'll have something to show for it -- a good wage, a secure job and home, and a solid pension.
Our nation -- and economy -- relied on workers around Ohio to build cars and appliances, to lay down rail lines and highways. Their work put them squarely in the middle class. Their work -- and a thriving manufacturing industry -- turned our nation into an economic superpower.
Job loss and wage stagnation figures reflect a decade's long decline in U.S. manufacturing, a decline that has shattered the American dream for millions of Americans.
Labels: manufacturing
