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  1. Month End Market News

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    As August ends, the rebar market continues to plug along. Certain regions throughout the US remain very strong with limited supply and strong demand, while other regions are faring much better with strong supply able to satisfy the rebar demand. The West and upper Midwest are the tightest markets in the country, while the Northeast and Southeast have a stronger supply picture as August ends. The southern Gulf market remains somewhere in between. Not surprisingly, the market is starting to see products from the regions with excess supply start moving to the tighter regions to help equalize supply throughout the country. Most agree that demand is solid in most every region on the backs of infrastructure, data storage, and energy demand.

    Domestic mills continue to enjoy solid backlogs and low inventory throughout the country. In the regions that are tightest, mills continue to report being “sold out,” and lead times are longer than normal. In the regions that mills have excess supply, those mills are sending product to help supplement the sister mills in the tighter regions. The result is all regions can report tight supply and healthy demand. Mills have hinted at price increases, but heading into the fall and winter months, most odds are the mills will hold pricing at current levels moving forward with little threat of imports and a stable raw materials market.

    On the import side, August did very little to help the import rebar picture. Stable domestic pricing and domestic supply availability did not encourage buyers to make large purchases from foreign mills. Import pricing still struggles under the weight of a 50% tariff so that even the most competitive offers are barely cheaper than domestic pricing. Add to it the long lead times, and the risk is not worth the reward to bring in imports. Not surprisingly, most expect import rebar arrivals to fall off as we close 2026.

    On the scrap front, scrap is expected to remain stable in September. Scrap dealers have an adequate supply to meet mill demands as several mills look to take outages late in the year that will curb their demand for scrap. While most expect a sideways move for the month, there is a small portion of the market that suggests scrap may even show signs of weakness on the heels of strong supply and only moderate demand from the mills. Any prediction of a September rally remains few and far between. Expect scrap to settle late this week or early next, at which time we will update you accordingly.

    In the meantime, have a great start to September.

  2. August Scrap Post

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    Late last week, Chicago shredded scrap posted down $10/ton from the previous month at $420/ton. The decline broke a streak of 4 consecutive months of scrap at $430/ton for the Midwest region. Mills were finally able to push pricing down in the Chicago market all-be-it, not likely enough to move the needle on rebar pricing. Most expect rebar pricing to remain very strong thru the end of the year, especially in the Midwest region with mills keeping the benefit of the raw material decline.

    We will continue to keep you posted on events related to rebar. Have a great week ahead.

  3. July Close – Market Comments

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    Happy Friday!!!

    July closes in the rebar market with solid activity on several fronts. Demand continues to be bolstered by heavy data center builds throughout the country, large demand from border wall projects, and a growing demand stemming from increased energy needs throughout the country. These areas are enough to move the needle and offset a softer residential demand that is tied to higher interest rates and commodity prices. Throughout the country rebar fabricators (which constitute the largest users of rebar) report heavy backlogs that extend out until the end of the year. On the supply side, certain regions face tighter supply constraints than others. The West and upper Midwest regions remain very tight in supply as mills struggle to keep pace with demand.  In the south it is much more in balance, and the east is showing the strongest supply base in the country. The result is almost opposing pricing pressures depending on which region you are in.

    The mills, in general, are reporting strong backlogs throughout the country. In the regions that contain fewer mills (West and Midwest), order books exceed what the mills can produce. Not surprisingly, out West, mills announced a price hike last month that is starting to gain traction. In the other regions, with more mills available and producing, additional “shipping” points are holding pricing at bay. Mills in general are still seeing record spreads between sale price and raw material costs, so they remain content to maximize production and benefit accordingly. The solid market demand is helping them do it.

    On the import front, foreign mills still struggle to gain relevance in the US market. High fuel prices continue to hold ocean freights high. Foreign mills simply can’t compete at the same price level as domestics with the added expense of 50% duties AND high ocean freight. Expect foreign material that was secured prior to our conflict in Iran with lower ocean freights to trickle in in the weeks ahead, but the level of imports will decline significantly in the second half of 2026, as very little has been booked in the last 3 months. This will only keep overall supply tight and pricing stable in the months ahead.

    On the scrap front, shredded scrap remains very stable to start the month after several months of sideways movement. There have been a few export scrap cargos sold recently, which helps increase demand; however, scrap dealers still report ample supply. Expect domestic mills to work to push the price lower in August. If successful, it would only likely be $10/ton, but scrap dealers are expected to try and hold their ground moving forward. We will report any scrap updates when they are posted.

    In the meantime, have a great weekend and a wonderful start to August.

  4. West Coast Rebar Prices Bump – $30/ton

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    Last night, in a somewhat surprising move, a major rebar mill bumped pricing at its West Coast mills $30/ton on all new orders, effective immediately. Mills out West had been indicated as being oversold for the past several weeks, and that point likely led to the announcement. Other West Coast mills have wasted little time in following the move with announcements of their own. The market will digest this news in the days ahead, and mills will pressure the increase to be put in place by the end of the month. While this only impacts the Western markets, the rest of the country will be watching to see if the increase will “stick” out West as they evaluate their own markets.

    We will continue to keep you posted on rebar developments.

  5. July Scrap Settles Late Last Week

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    Late last week, Chicago Shredded Scrap finalized sideways for July at $430/ton. The “non-change” was widely expected and will give little pressure for mills to adjust pricing based on raw material cost changes. This is the 4th consecutive month that scrap has finished at $430/ton, showing strong signs of stability in the raw material market. Early expectations are that trend will continue for August.

    We will continue to keep you posted on events that affect the rebar market. Have a great week!

  6. June Month End Rebar Comments

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    With the start of the 2nd half of 2026, domestic mills are reporting good business, strong shipments, solid backlogs, and impressive profitability spreads in their earnings. With very little import to contend with and aided by the tariffs on the import that is arriving, domestic mills have been successful in filling their rollings at prices that have historically high spreads over their raw material and input costs. The firmest markets remain out West and, in the Midwest, while the South, Southwest, and Northeast face slightly more headwinds. There is very little available stock on hand in all regions, but most mills have roll cycles within a matter of weeks versus the month-plus lead times rumored in other non-rebar product lines. Domestics expect the good business to continue into the second half of the year but are wary of potential economic factors and additional capacity additions that could disrupt the product pricing.

    On the import front, there has been very little new activity in the last month in imported rebar. Foreign mills continue to struggle under the pressure of a 50% duty and high ocean freights. The only mills trying to entertain the US market are the SE Asian mills, and their lead times are that much longer given their proximity to the US. Several cargos booked earlier in the year are taking nearly 6 months to arrive to the US port of entry, creating additional market pricing risks for a potential buyer. These factors continue to make imports a limiting factor and less relevant in the rebar market.

    Scrap continues to remain steady, with most market participants expecting another sideways move for July, similar to last month. Lack of export demand for US scrap limits overall scrap demand, and supply flows continue to be strong for the scrap dealers. The stalemate this creates causes very little expected movement when scrap posts this month and will give mills very little reason to react accordingly. We will report when the scrap finalizes next week.

    In the meantime, we want to wish all our vendors, customers, friends, and family alike a very safe & happy 250th 4th of July holiday celebration this weekend!!

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