Steel Wire Rod prices April 2024: Rises in China, falls in the US and EU

With the week ending on April 12th, Steel Wire Rod prices experienced a decline due to lower demand and reduced raw material costs in the U.S. market. The American Iron and Steel Institute highlighted decreased steel imports, reflecting economic and geopolitical factors. This cautious purchasing trend, notably in automotive and construction, led to a drop in the Carbon Steel Wire Industry’s Producer Price Index in March. Similar decreases were observed in the German market, attributed to reduced demand and negative buyer sentiments. Conversely, China saw a price surge driven by increased demand from the manufacturing sector, particularly in construction steel.

The US Steel Wire Rod prices saw a 0.2% decline by the week ending on April 12th attributed to reduced demand and lower raw material expenses. The American Iron and Steel Institute (AISI) noted reduced steel imports, signalling economic and geopolitical influences on demand. This trend of cautious purchasing, notably in the automotive and construction industries with significant inventories, led to a 0.35% drop in the Producer Price Index for the Carbon Steel Wire industry in March.

On April 12th, Steel Wire Rod prices in the German market settled with a weekly decline of 0.3%. This decline corresponded to a 1.9% drop in Petroleum Coke prices compared to the prior month, attributed to diminished demand and pessimistic buyer sentiments. The week saw minimal activity due to decreased demand, as most clients took a conservative stance. Uncertainty in the regional market persisted, resulting in sluggish trade conditions and subdued purchasing activities. Additionally, the automotive industry witnessed a year-over-year decline of 6.2% in March.

There was a 0.5% surge in China's Steel Wire Rod prices, propelled by heightened demand from the recovering manufacturing sector, notably in construction steel. This price upswing followed a boost in China's manufacturing PMI to 50.8% in March, marking a 1.7% increase from the prior month and surpassing industry standards. The National Bureau of Statistics of China noted a positive shift in the manufacturing sector's mood, indicating a promising outlook for the construction Steel Wire Rod market. This improvement in industry sentiment spurred greater demand for Steel Wire Rod from downstream sectors, leading to reduced inventories.

According to ChemAnalyst, In USA anticipated shifts in pricing trends are foreseen due to limited stock in the area and robust buying enthusiasm. The price trajectory is set to change owing to a buoyant demand in downstream markets like automobile. The Steel Wire Rod in Germany might see price hikes as the government initiates fresh agreements to rejuvenate the industry. This push in raw material expenses is likely to drive up Steel Wire Rod prices within the German market. In China, the rise in demand within the construction industry in the United States is driving higher purchases, consequently boosting the growth trajectory of Steel Wire Rod. Diminished inventory levels could potentially lead to a surge in Steel Wire Rod prices.