On a three month moving average, (3MMA) basis, July total carbon steel shipments averaged 134,200 tons per day, compared to 152,200 tons per day in July 2018 (-11.8 % year on year, YoY).

msci2-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 14.8%. Structurals, (> or = 3 inch) 3MMA y/y intake decreased by 19.3% y/y. Bar and Shapes y/y intake fell 26.1%. Plate recorded a decline of 25.4% y/y. Carbon Pipe & Tube 3MMA y/y intake decreased by 14.7% y/y. Carbon Sheet recorded a decline of 11.3% y/y.

Service Center shipments were also down across the board. All carbon products reported a decrease of 8.7%. Structurals, (> or = 3 inch) 3MMA y/y shipments decreased by 11.3% y/y. Bar and Shapes y/y shipments fell 17.4%. Plate recorded a decline of 13.2% y/y. Carbon Pipe & Tube  3MMA y/y shipments decreased by 14.9% y/y. Carbon Sheet recorded a decline of 6.5% y/y.

Overall inventory levels decreased in all product lines y/y. All carbon products decreased inventory by 12.6% y/y, Structurals, (> or = 3 inch) declined by 7.4%. , Bar and shapes inventory was down 19.1% y/y, Carbon plate declined by 7.0%, Carbon pipe and tube was down 16.0% y/y and Carbon sheet declined by 13.0%.

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.