Based on reported import licenses, US long products imports rose 6% from 146,000 short tons in September to 155,000 tons in October. October long products imports in 2010 were 179,000 tons, in 2009 210,000 tons, in 2008 211,000 tons and in 2007 238,000 tons.
An 8,000-ton rise in wire rod imports drove the overall increase, mainly due to higher volumes from Brazil, Mexico and Korea. November import licenses reported November 15th were 56,000 tons which is likely to mean that full-month November imports will be significantly lower than October’s.
More results have been reported and recorded in the Nerds of Steel earnings spreadsheet. See links to earnings releases for ArcelorMittal and Gerdau.
As has been the pattern among companies we follow, both companies reported a decline in Q3 2011 EBITDA and operating income per ton relative to the second quarter. ArcelorMittal’s EBITDA per ton fell from $139 to $104, while Gerdau’s fell from $147 to $138.
For those of you who use the Nerds of Steel Earnings spreadsheet on a regular basis, you’ll notice that we have added the results for Essar Steel Agloma and AHMSA to the list of companies we track.
Based on reported import licenses, US flat products imports increased 23% from 577,000 short tons in September to 712,000 tons in October. In comparison, October flat products imports were 509,000 tons in 2010, 482,000 tons in 2009 and 778,000 tons in 2008.
113,000 tons of the 135,000-ton rise between September and October was due to higher hot roll imports from countries such as Australia, Korea, Canada, the Netherlands and New Zealand. Imports of hot dip, cold roll, and plate also increased.
I will update the spreadsheet below when the next licenses are reported in order to show mid-November license data.
Two more North American steel companies have reported Q3 2011 financial results. Links to the earnings’ announcements appear below.
Like other companies followed in the Nerds of Steel earnings spreadsheet, AHMSA and Ternium both achieved lower EBITDA per ton in Q3 than in Q2. AHMSA saw a big drop in EBITDA per ton, from $221 in Q2 to $155 in Q3. Ternium’s drop was less significant, from $190 to $177. Both companies continue to perform above average among the companies we track.
worldsteel‘s forecast for growth in world apparent steel use in 2011 was revised upward from 5.9% in April’s Short Range Outlook to 6.5% in October’s Short Range Outlook published recently. worldsteel expects world apparent steel use to reach 1,398 million metric tonnes in 2011 (instead of April’s forecast of 1,359 m tonnes) and 1,473 m tonnes in 2012 (instead of April’s forecast 1,441 m tonnes).
Driving this change in the forecast is worldsteel’s belief that China’s steel use will grow by 7.5% in 2011 instead of 5%, and 5% in 2012 instead of 6%. In contrast, worldsteel has significantly reduced its forecast for India, where it believes apparent steel use will rise by 4.3% in 2011 instead of 13.3% and will rise by ‘only’ 7.9% in 2012 instead of 14.3%. India seems to have taken on the role (once Brazil’s) of being perennially the land of future promise.
See the spreadsheet below for a better look at the numbers published in the October Short Range Outlook together with regional apparent steel use over the last few years.
Third quarter 2011 financial results for three more companies have been added to the Nerds of Steel earnings spreadsheet. Links to each company’s results can be found below.
All three companies reported lower EBITDA per ton shipped in Q3 than in Q2. AK’s dropped from $79 to $44 while US Steel’s fell to $67 from $86. Posco’s EBITDA per ton shipped also fell, to $180 from $212, but remained at the top end of companies we track.
