Three leading U.S. steel companies have reported enhanced profitability recently, in one case, less egregious negative results. All three attribute their brighter financial picture to falling steel imports and those thanks to the trade sanctions the United States government has imposed on foreign steel producers, most notably China, but others as well.
These results come at a time when a stronger U.S. dollar could have contributed to high levels of steel imports into the U.S. market, bolstering the argument that trade measures are starting to work to the benefit of the domestic industry. They also come on the heels of the American Iron and Steel Institute’s 2015 statistical report which showed steel imports near record levels. This year’s import picture is decidedly different.
These more favorable conditions have also brightened the financial picture of a large U.S. scrap dealer and recycler, which reported big gains in productivity in its recent quarter.
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