Oil Rebound Threatened by Gasoline Glut; Steel Imports Up

by Jeff Yoders on APRIL 26, 2016

Steel imports into the U.S. were up in March while a glut of oil and gasoline production in Asia threatens the recent price rally.

Gasoline Glut In Asia

A rebound in oil prices this year from 12-year lows is in danger of coming to a crashing halt soon.

The main engine of global demand growth for the past several years, Asian demand, starts to sputter amid signs of a gasoline glut in both Japan and China.

Steel Imports Into the U.S. Up in March

Based on preliminary Census Bureau data, the American Iron and Steel Institute reported recently that the U.S. imported a total of 2.5 million net tons (nt) of steel in March 2016, including 2.097 million nt of finished steel (up 12.9% and down 0.1%, respectively, vs. February final data).

On the year-to-date, through three months of 2016 total and finished steel imports are 7.49 million and 6.424 million nt, down 36% and 34% respectively, vs. the same period in 2015. Annualized total and finished steel imports in 2016 would be 30 and 25.7 million nt, down 23% and 18% respectively vs. 2015. Finished steel import market share was an estimated 24% in March and is estimated at 25% YTD.

Source: MetalMiner