US President Donald Trump's conciliatory statements toward 232-saddled Mexico and the European Union has thrown oil country tubular goods buyers into confusion, Kallanish hears from market sources.
In recent public statements, President Trump appeared to be hinting that the 25% steel tariffs currently in force on Mexico and the European Union are close to being done away with as negotiations with each entity continue.
"Anytime there is change looming, it's interesting," says one Gulf Coast buyer. "[President Trump's] comments on the 232 have frozen most long-dated deliveries. Lots of new mill capacity is coming online from Q4 through Q2 2019, and pricing for spot and future production is getting wider."
Kallanish held its representative P110 domestic welded casing price Friday at $1,750-1,850/short ton. All prices are ex-works, domestic mill.