On a three month moving average, (3MMA) basis, May total carbon steel shipments averaged 113,166 tons per day, climbing 4.9% year on year, (y/y). Bar and Shapes and Plate shipments led the advance, both recording a 3.9% and percentage increase y/y.
Table 1 shows percentage change results for shipments, daily intake and inventory level. In all cases the percentage change references 3MMA y/y. For shipments and inventory, three columns of data are listed offering 12, 24 and 36 month changes.
All products groups posted y/y increased daily intakes with Carbon Pipe and Tube posting a significant increase of 60.0%.
Daily shipments were all positive y/y percentage increases (on a 3MMA basis). All Carbon Products increased by 4.9%, Structurals, (> or = 3 inch) 3MMA y/y shipments grew by 12.9% y/y, Bar and Shapes y/y shipments advanced 4.5%. Plate recorded growth of 8.4% y/y. Carbon Pipe and Tube shipments increased by 8.5% y/y. Sheet deliveries moved-up 3.5% y/y.
Overall inventory levels increased by 8.4%, 3MMA y/y. Structurals increased by 2.2% y/y. Bar & Shapes and was higher by 2.4% y/y. Carbon Plate was higher by 1.5% y/y, Pipe & Tube was up by 11.7% y/y, and Carbon Sheet up by 10.5%.
Figure 1 shows the shipment history for all carbon steel as a percent of the peak market in June 2006, (2006 = 1.00). For the year 2017, the percentages ranges from a low of 57% in January to a peak of 65% in the March through July period. January 2018 started out with an uptick, posting a 60%, and continues to move upward into May 2018.
At Gerdau we scrutinize the MSCI release every month searching for clues on the industry’s performance. It’s important to us as a significant supplier of long steel products to our service center customers. It’s equally important to keep our steel consuming consumers informed.