On a three month moving average, (3MMA) basis, May total carbon steel shipments averaged 143,800 tons per day, compared to 155,400 tons per day in May 2018 (-7.5 % year on year, YoY). Overall carbon steel inventory is down 6.0% YoY.

msci-fig1Figure 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 product groups posted a decrease in daily intake YoY (3MMA).  All carbon products reported a decrease of 11.1%. Structurals, (> or = 3 inch) 3MMA y/y intake decreased by 13.4% y/y. Bar and Shapes y/y intake fell 26.0%. Plate recorded a decline of 14.4% y/y. Carbon Pipe & Tube  3MMA y/y intake decreased by 27.4% y/y.

Service Center shipments were also down across the board. All carbon products reported a decrease of 9.0%. Structurals, (> or = 3 inch) 3MMA y/y shipments decreased by 15.7% y/y. Bar and Shapes y/y shipments fell 17.9%. Plate recorded a decline of 10.3% y/y. Carbon Pipe & Tube  3MMA y/y shipments decreased by 17.7% y/y.

Overall inventory levels decreased in all product lines y/y except Structurals, (> or = 3 inch) at 4.6% y/y and Carbon Plate at 2.0% y/y. All carbon products decreased inventory by 6.0% y/y, Bar and shapes inventory was down slightly at 12.7% y/y, Carbon pipe and tube was down 13.6% y/y and Carbon sheet declined by 6.0%.

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.