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Futures Steel Market BOOM or BUST

There’s much speculation regarding the steel market. Will prices increase in the near future or will they decline? Of course, no one has the crystal ball, but many industry leaders are optimistic since Trump became President.

President Trump signed a bill giving permission for U.S. workers to rebuild the Keystone Pipeline – you can also watch this historic moment here. He also signed a bill to investigate potential benefits if the U.S. stops importing steel from other countries such as China. A decline in steel imports will likely boost the market since builders will be required to purchase American steel.

And what increases prices? Higher U.S. demand, of course. The more domestic builders use American products, the higher the U.S. demand becomes.

But many skeptics wonder if this will ultimately affect other imports? Will China demand we accept ferrous imports and ultimately decide to halt all imports into the U.S.? Maybe. But it wouldn’t be a wise strategy since this decision would likely destroy China’s economic stability. Especially if you consider everything in the United States that says “Made in China.” The loss of the U.S. market would definitely not be in China’s best interest.

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West Melrose Metal Recyclers
4699 West Lake Street
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(708) 344-8926