Report: High level of steel imports threatens profitability of U.S. firms

Annual global steel oversupply is now running at more than $500M/year, twice as much as in 2001, according to a new U.S. steel industry-backed report.

The steel industry (SLX) is facing its "biggest import crisis since 2001," and high levels of imports are continuing and are a threat to the profitability of companies such as U.S. Steel (X) and AK Steel (AKS), the report says; in Q1, imports by U.S. companies rose 36% to 10.6M tons, a trend driven by excess capacity overseas and by a strong U.S. market due to the esurgent auto industry, and oil and gas drilling.

In response, U.S. producers are filing more trade complaints and seeking new import tariffs.

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  • Blue Horshoe love Anacot Steel
    , contributor
    Comments (286) | Send Message
    Despite unfair dumping and trade violations from Asian steel manufacturers, the Obama admin won't lift a finger for domestic steel producers, a dirty industry they find repugnant. Plus, they are beholden to real big industry -- the oil and gas drillers and automobile manufacturers who want cheap imported steel. But they tell you that they are for middle class jobs and Republicans are the party of big business...
    14 May 2014, 01:32 AM Reply Like
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