Hot Rolled Coil Prices

Hot Rolled Coil Prices December 2023

The hot rolled coil prices in the United States for Q4 2023 reached 1045 USD/MT (HR Coil 3mm) in December. The prices in the United States during the fourth quarter of 2023 experienced a mixed trend. Initially, prices remained low due to weak purchase deals, transportation challenges, and issues over inflation and a potential strike by the United Auto Workers. However, toward the quarter's end, prices increased, influenced by lower inventory levels and production cuts during the strike, along with strategic price hikes by producers.

The price trend for hot rolled coil in Taiwan for Q4 2023, reached 965 USD/MT (HR Coil SS400 - 1.2mm) in December.  In Taiwan, hot rolled coil prices in this quarter were marked by stability and periodic increases. Prices were adjusted upwards in response to increasing costs of raw materials and rising demand from construction and automotive sectors. Additionally, supply chain disruptions, particularly in the Panama Canal, and adverse weather conditions slowed manufacturing activities, contributing to the fluctuating market conditions.

The price trend for hot rolled coil in Russia for Q4 2023, reached 835 USD/MT (HR Coil 3mm) in December. The Russian hot rolled coil market faced varying price movements in this quarter. Early price declines resulted from surplus production and reduced automotive sector demand. Nevertheless, by quarter end, prices decreased further due to high inventories and trade disruptions in the Red Sea, coupled with geopolitical tensions and harsh winter weather impacting various industries.

Hot Rolled Coil Price Trend, Market Analysis, and News

IMARC’s newly published report, titled “Hot Rolled Coil Pricing Report 2024: Price Trend, Chart, Market Analysis, News, Demand, Historical and Forecast Data,” offers an in-depth analysis of hot rolled coil pricing, covering an analysis of global and regional market trends and the critical factors driving these price movements.

It encompasses an in-depth review of spot price of hot rolled coil at major ports, a breakdown of prices including Ex Works, FOB, and CIF, alongside a region-wise dissection of hot rolled coil price trend across North America, Europe, Asia Pacific, Latin America, the Middle East and Africa.

The report examines the elements influencing hot rolled coil price fluctuations, such as supply-demand dynamics, geopolitical factors, and industry-specific developments. Additionally, it integrates the latest market news, providing stakeholders with up-to-date information on market shifts, regulatory changes, and technological advancements, thereby offering a comprehensive overview that aids in strategic decision-making and forecasting.

Hot Rolled Coil Market Analysis

The global hot rolled coil market size reached 300 million tonnes in 2023. By 2032, IMARC Group expects the market to reach 458.3 million tonnes, at a projected CAGR of 4.80% during 2023-2032.

• Infrastructure development is a significant driver for the demand for hot rolled coils. As governments worldwide focus on improving their country's infrastructure, including highways, bridges, airports, and buildings, the need for HRC intensifies. In the US, more than $350 billion has been announced in the Bipartisan Infrastructure Law (BIL) funding through October 2023. Among which, $9.8 billion has been allocated to passenger and freight rail, $7.8 billion for airports, $174.7 billion for roads, bridges, and major projects, $34.1 for public transportation, and $5.9 billion for ports and waterways, boosting the demand for high-quality hot rolled coils. 
• The hot rolled coil demand is further amplified by its utilization in the automotive sector for manufacturing various components. As the production of vehicles rises, the demand for hot rolled coils will also increase. In 2022, the annual sales rate for passenger cars was 81.6 million units. China alone exported 2.1 million vehicles during Jan-Sep 2022, an increase of 55% compared with 2021. The American auto market rose in October to 1.18 million private and institutional sales, an increase of 11.5% compared with October 2021. The industry's expansion, especially with the rise of electric vehicles (EVs), also boosts the demand for steel products. The EV market in India is anticipated to grow at a rate of 49% between 2022 and 2030, which will increase the use of hot rolled coil in manufacturing various parts.
• The hot rolled coil is also becoming increasingly popular in the energy sector, including renewables and traditional power generation. Global energy consumption has grown by 69.22% due to increased world population by 47.67% from 1990 to 2020. Also, it was estimated that around $2.8 trillion was invested in energy in 2023. From this, more than $1.7 trillion was for clean energy, including renewable power, nuclear, grids, storage, low-emission fuels, efficiency improvements and end-use renewables and electrification. Moreover, India aims to achieve 50% of total electric power installed by 2030 from renewables, i.e., a 500 GW of renewable energy installed capacity. This has increased the demand for steel products in various renewable energy projects.
• The market share is also expanding due to hot rolled coil's increased demand in the construction sector owing to rising industrialization and urbanization in emerging nations. In 2020, around 44% of the population worldwide lived in cities, 43% in towns and suburbs, and 13% in rural areas in 2020, accounting for a total urban share of 87% (more than 6.8 billion people). It is projected that by 2050, 1 in 7 people will live in urban areas, boosting the need for the construction of residential and commercial spaces. Regionally, The Asia Pacific region's construction and real estate market is anticipated to reach nearly 40% of the industry's output value by 2030, with a 6% growth rate.

Hot Rolled Coil News

The report covers the latest developments, updates, and trends impacting the global hot rolled coil market, providing stakeholders with timely and relevant information. This segment covers a wide array of news items, including the inauguration of new production facilities, technological innovations, strategic market expansions by key industry players, and significant mergers and acquisitions that impact the hot rolled coil price trend.

Latest developments in the hot rolled coil industry:

• In August 2022, Tata Steel signed a Memorandum of Understanding (MoU) with the Government of Punjab, India for setting up a 0.75 MnTPA long products steel plant with a scrap-based electric arc furnace (EAF).
• In March 2023, ArcelorMittal, a Luxembourg-based multinational steel manufacturing and mining corporation, announced its acquisition of Companhia Siderúrgica do Pecém (‘CSP’) for approximately $2.2 billion. The company aims to capture steel demand growth, increase capacity and add finishing facilities.

Product Description

Hot rolled coil (HRC) is a type of steel product that is produced through the hot rolling process, where steel is rolled at a high temperature above its recrystallization point. It is produced from various materials, such as carbon steel and alloy steel, catering to different mechanical and structural requirements. HRC is available in various types, including carbon steel, low alloy, and high strength low alloy (HSLA), each possessing unique properties, such as weldability, ductility, and strength, which are advantageous for specific applications.

It finds application in industries like automotive, construction, pipe and tube manufacturing, shipbuilding, energy, and heavy equipment manufacturing. HRC is lauded for its cost-effectiveness, excellent workability for various manufacturing processes, including cutting, welding, and machining, adaptability in various environmental conditions, versatility, durability, and recyclability.

Regional Coverage

The report provides a detailed analysis of the hot rolled coil market across different regions, each with unique pricing dynamics influenced by localized market conditions, supply chain intricacies, and geopolitical factors. This includes price trends, price forecast and supply and demand trends for each region, along with spot prices by major ports. The report also provides coverage of ex-works, FOB, and CIF prices, as well as the key factors influencing the hot rolled coil price trend.

Global Hot Rolled Coil Price

The report offers a holistic view of the global hot rolled coil pricing trends in the form of hot rolled coil price charts, reflecting the worldwide interplay of supply-demand balances, international trade policies, and overarching economic factors that shape the market on a macro level. This comprehensive analysis not only highlights the current price but also provides insights into hot rolled coil historical price trends, enabling stakeholders to understand past fluctuations and their underlying causes.

The report also delves into hot rolled coil price forecast models, projecting future price movements based on a variety of indicators such as expected changes in supply chain dynamics, anticipated policy shifts, and emerging market trends. By examining these factors, the report equips industry participants with the necessary tools to make informed strategic decisions, manage risks, and capitalize on market opportunities. Furthermore, it includes a detailed hot rolled coil demand analysis, breaking down regional variations and identifying key drivers specific to each geographic market, thus offering a nuanced understanding of the global pricing landscape.

Europe Hot Rolled Coil Price

In Europe, the market maintained stable pricing throughout Q4 2023, though Russia saw notable fluctuations. Early in the quarter, elevated production and lowered interest from the automotive industry led to a price drop, exacerbated by decreased demand for Russian-grade pig iron in the Black Sea market. Russian steel mills responded with increased production rates, increasing supply. Midway through the quarter, supply chain issues in the Panama Canal and higher freight costs influenced market preferences.

This analysis can be extended to include detailed hot rolled coil price information for a comprehensive list of countries.

North America Hot Rolled Coil Price

In the fourth quarter of 2023, the North American market for hot rolled coils (HRC) experienced a downward price trend due to multiple factors. The beginning of the quarter saw low prices despite a robust U.S. dollar, largely due to limited purchase deals and transportation constraints from lower river levels. Another contributing factor was the United Auto Workers strike. Reduced demand from automotive companies, wary of inflation, further impacted prices. Later in the quarter, domestic prices began to rise due to falling inventory levels, a price increase from Cleveland Cliffs, and decreased production during the strike.

Specific hot rolled coil historical data within the United States and Canada can also be provided.

Middle East and Africa Hot Rolled Coil Price

The report explores the hot rolled coil pricing trends in the Middle East and Africa, considering factors like regional industrial growth, the availability of natural resources, and geopolitical tensions that uniquely influence market prices.

In addition to region-wise data, information on hot rolled coil prices for countries can also be provided.

Asia Pacific Hot Rolled Coil Price

In the fourth quarter of 2023, the prices of hot rolled coil in the Asia-Pacific region exhibited remarkable stability, characterized by only minor fluctuations in both demand and supply. Notwithstanding the subdued global demand, substantial orders were nevertheless placed, resuling in an increase in prices. In November, hot-rolled coil (HRC) prices in Taiwan experienced a notable increase attributed to limited availability, heightened demand stemming from the construction and automotive industries, and disruptions in trade channels, particularly those affecting the Panama Canal.

This hot rolled coil price analysis can be expanded to include a comprehensive list of countries within the region.

Latin America Hot Rolled Coil Price

The analysis of hot rolled coil prices in Latin America provides a detailed overview, reflecting the unique market dynamics in the region influenced by economic policies, industrial growth, and trade frameworks.

This comprehensive review can be extended to include specific countries within the region.

Report Coverage

Key Benefits for Stakeholders:

• IMARC’s report presents a detailed analysis of hot rolled coil pricing, covering global and regional trends, spot prices at key ports, and a breakdown of ex-works, FOB, and CIF prices.
• The study examines factors affecting hot rolled coil price trend, including supply-demand shifts and geopolitical impacts, offering insights for informed decision-making.
• The competitive landscape review equips stakeholders with crucial insights into the latest market news, regulatory changes, and technological advancements, ensuring a well-rounded, strategic overview for forecasting and planning.
• IMARC offers various subscription options, including monthly, quarterly, and biannual updates, allowing clients to stay informed with the latest market trends, ongoing developments, and comprehensive market insights. The hot rolled coil price charts ensure our clients remain at the forefront of the industry.