Cancellation of the Keystone XL pipeline project by the Biden administration will have some impact on the steel market in North America, specifically supply and demand for line pipe, but the effect is difficult to assess, say the experts.
NLMK USA turned in a dismal quarter after cutting production in response to a months-long strike at the Pennsylvania mill and a dearth of duty-free slabs from the import market.
Cleveland-Cliffs plans to restart the No. 6 blast furnace at its steel mill in Cleveland, Ohio, a company spokeswoman said.
Output from the No. 6 furnace will help to replace lost production from the steelmaker taking down for maintenance the No. 3 furnace at its Middletown, Ohio, mill, she said.
Olympic Steel’s chief executive officer is bullish on steel demand in the months ahead despite the risks posed by higher prices.
That optimism stems from the Biden administration indicating that it plans to spend big on infrastructure and from the prospect of the U.S. getting a better handle on the Covid-19 crisis, Olympic Steel CEO Richard Marabito said in an exclusive interview with Steel Market Update.
It also comes from the ability of the service center industry to adapt to any surprises that might come its way--and with leaner inventories than in past pricing cycles, he said.
U.S and Canadian active rotary drill rig counts increased again this week, according to data released by oilfield services company Baker Hughes. The rig count is important to the steel industry because it is a leading indicator of oil country tubular goods demand.
The number of active U.S. rigs rose by 5 to 378, with oil rigs up 2, gas rigs up 3, and miscellaneous rigs unchanged. Compared to this time last year, this week's count is down 416 rigs, with oil rigs down 387, gas rigs down 27, and miscellaneous rigs down 2. See the first graph below for a history of active U.S. rig counts.