Steel Market Barometer

Tariffs & Market Pricing

Steel prices continue to be stable and have yet to react to the impending tariffs. Lack of demand and high inventories are keeping prices low for now.
Steel stocks had rallied in early November as investors assumed a new Trump presidency would be better for the group than the outgoing Biden administration. Currently, the stocks now trade well below those levels.
All indications are that the Trump administration will be imposing additional tariffs and quotas on imported steel. It is unclear at this time what that will look like or when they will take effect.

Lead Times & Demand

Steel lead times are stable to slightly extended compared to late-November levels.
Inventory levels of steel pipe appear to be healthy at all ends of the supply chain.
We do see concerns with future availability on 20” to 36” pipe, based on capacity and current / forecasted demand.
Data Center construction has tripled over the last three years. Trajectory for data center construction is robust and is supporting strong demand for steel pipe across the country.

December 22, 2024, 9:13 pm Kelly Pipe