AISI: US Steel import permits tumbled 8% in August

ALBANY (Scrap Monster): Based on the most recent Steel Import Monitoring and Analysis (SIMA) data, the American Iron and Steel Institute (AISI) reported today that the U.S. steel import permit applications for the month of August this year totaled 3,028,000 net tons (NT) of steel. The import permits tons recorded 8% fall when compared with 3,294,000 permit tons recorded in July this year. The figure is significantly lower by 7% when compared with the July final imports total of 3,266,000 net tons.

The import permit tonnage of finished steel totaled 2,282,000 net tons during August, down by 8% when matched with the final imports total of 2,471,000 net tons in July.

The total and finished steel imports for the initial eight-month period of the current year totaled 22,001,000 and 17,576,000 net tons (NT), down by 22% and 23% respectively, vs. the same period in 2015. It must be noted that the above figures are inclusive of July final data and August SIMA permits. Finished steel import market share was estimated at 25% in August and at 25% during the initial eight-month period of the year.

Key finished steel products with a significant increase in import permits during August this year when compared to July final import are standard rails (up 63%), wire rod (up 28%), standard pipe (up 22%), structural pipe and tubing (up 17%), mechanical tubing (up 13%) and hot rolled bars (up 11%).

In August, the largest number of import permit applications were for South Korea (293,000 NT, down 32% from July final), Japan (232,000 NT, up 17%), Turkey (179,000 NT, down 44%), Taiwan (130,000 NT, up 12%) and Germany (128,000 NT, up 46%).

For first eight months of 2016, the largest overseas suppliers of finished steel to the US were South Korea (2,665,000 NT, down 27% from the same period in 2015), Turkey (1,694,000 NT, down 17%) and Japan (1,297,000 NT, down 20%).

Meantime, the weekly statistics released by the steel body indicates that raw steel production by the country increased marginally by 0.9% during the week ending September 3^rd.

The total domestic raw steel output during the week ending September 3^rd was 1,681,000 net tons. The AISI data indicates that the US raw steel production has improved slightly by 0.9% during the week. This is in comparison with the previous week (ie., the week ended August 27^th)  production figures of 1,642,000 net tons. However, the weekly production represents modest decline of 3.1% in comparison with production of 1,709,000 net tons during same week the previous year.

The capability utilization rate of US steel makers was 70.8% during the week ended September 3^rd, 2016. The capacity utilization rate has improved marginally when compared with 70.2% during the previous week (ie., the week ending August 27^th). However, capacity utilization was lower when compared with the rate of 71.5% during same week the previous year.

The crude steel production by various districts during the week was as follows:- North East (205,000 NT), Great Lakes (648,000 NT), Midwest (161,000 NT), Southern (570,000 NT) and Western (72,000 NT).

The year-to-date crude steel output through September 3^rd totaled 60,919,000 net tons, marginally down by nearly 1.2% when matched with the output of 61,688,000 net tons during the same period last year. The capacity utilization rate during the period was up slightly from 72.3% a year before to 72.4% during the period ended Sep 3^rd this year.

About AISI

AISI serves as the voice of the North American steel industry in the public policy arena and advances the case for steel in the marketplace as the preferred material of choice. AISI also plays a lead role in the development and application of new steels and steelmaking technology. AISI is comprised of 19 member companies, including integrated and electric furnace steelmakers, and approximately 125 associate members who are suppliers to or customers of the steel industry.