Cleveland-Cliffs cuts HRC price to $910/mt for June orders

US steelmaker Cleveland-Cliffs has announced the opening of its June order book for hot rolled coil (HRC) at a discounted price of $910/ton. This is stated in the company’s May release.

The new price is a significant reduction compared to the May offer of $975/t. Thus, the price of HRC fell by $65/t or almost 7%, reflecting changes in market conditions.

In April, the company emphasized that prices were supported by steady demand in the OEM markets and intensified initiatives to bring production back to the US (onshoring). However, against the background of possible stabilization of these factors or the emergence of new challenges for the manufacturer, Cleveland-Cliffs has revised its pricing policy.

The company reserves the right to change the price during the June booking window. At the same time, Cleveland-Cliffs reaffirms its commitment to working with its supply chain partners.

The new pricing decision demonstrates the company’s commitment to remain competitive in a changing market environment. Market participants will be closely watching to see whether the current price level will be maintained in the coming months and how other major US steel producers will react.

In particular, since the beginning of May, Nucor has already reduced its weekly spot prices (CSP) for hot-rolled coils three times. The latest adjustment (May 19) lowered offers by 2.2% or $20/t compared to the previous week to $880/short tonne for all producers except California Steel Industries (CSI), where the price is $940/t (-2.1%). Since the beginning of the month, the total price drop is estimated at $50/ton.