By Paul Ploumis 10 Jul 2015 Last updated at 01:42:54 GMT
SEATTLE (Scrap Monster): The latest steel export statistics published by the American Institute for International Steel (AIIS) indicates that steel exports from the country declined sharply during the month of May this year. The US steel exports during the month totaled 870,099 net tons, 16% down when compared with the exports during May 2014. Meantime, the exports rose well above the previous month levels, registering an increase of 3% from April to May this year.
The key export destination of US steel during the quarter was Canada. The steel exports to Canada totaled 408,729 net tons, nearly unchanged when compared with the previous month. However, exports to Canada dropped significantly by 26.9% from May 2014 to May 2015. The second largest importer of steel from the US was Mexico. The US steel exports to Mexico declined 5.5% over the previous month in May ’15. Over the year, steel exports to Mexico dropped 13.6%. Dominican Republic posted nine-fold increase in steel purchases from the US, making it the third largest buyer of steel from the US. The monthly steel export to the country totaled 36,750 net tons. The US steel exports to the EU region declined 9.5% from April this year to total 27,015 net tons in May.
The cumulative steel exports by the US during the initial five-month period of the year totaled 4.41 million net tons, down 12.1% year-on-year. Canada remained the top importer of steel from the US. The exports to Canada dropped sharply by 21% to 2.13 million net tons. The exports to Mexico totaled 1.7 million net tons, marginally lower by nearly 1% when compared with Jan-May in 2014.
AIIS notes that the visible slowdown in steel exports to Canada is a matter of concern. Many economists fear that Canadian economy is at least ‘struggling’. The steel exports by the US may continue to suffer until conditions improve in Canada, as the country happens to be the main trade partner of the US, accounting for roughly half of the US steel exports.