It is understood that due to the overall low demand for carbon steel plates this year, coupled with fierce competition among steel mills, the price of carbon steel plates in the United States has fallen to the lowest point in nearly four years. The steel mills believe that prices have bottomed out this summer, but there are still two steel mills that lowered prices in August. From both the oil and gas industry and railway and other heavy equipment manufacturers, demand remains weak.

In August, the price of carbon steel decreased from $520/ton last year (FOB US) to $500/ton. Since early July, prices have remained at their lowest point since the autumn of 2016. In addition, the prices of medium and thick plates are basically consistent with those of hot-rolled coils. Compared to last year, the price of steel plates was $10 higher than that of hot-rolled coils, and this year this price difference has basically disappeared. Some distributors have claimed that two steel mills have lowered their prices at one point due to the difficulty of attracting large orders.

Moreover, some steel mills have entered into backdoor transactions with downstream companies, which have also put some pressure on market pricing. Meanwhile, due to the possibility of increasing the cost of scrap steel raw materials, some steel mills are attempting to raise prices. The next major demand for steel plates is for naval shipbuilding and local highway construction projects. But it is expected that large-scale infrastructure investment will not be needed until 2021. A large medium and thick plate manufacturer has stated that steel mills have already reduced production, thus delaying delivery times and hoping to raise prices before the fall of this year. However, at present, attempting to increase prices may not be feasible.