(Heather Long – Washington Post)
American steel companies are thriving again, largely thanks to China, not President Trump.
Steel prices are surging. Prices in the United States are at the highest point in about three years, according to SteelBenchmarker. China is a major factor driving this “summer of steel.” The Chinese government has finally curbed some steel production, acknowledging that a glut of steel on world markets was causing prices to fall so low that even Chinese companies couldn’t turn a profit. At the same time, China is hungry for steel as it upgrades its infrastructure. Lower Chinese supply and higher Chinese demand has sent steel -- and other metal – prices up around the world.
All of this is great news for steel companies. ArcelorMittal, the world’s largest steel producer, just dramatically hiked its forecast for how much steel China is going to buy this year. Originally, the company predicted a 1 percent decline in Chinese purchases. Now it anticipates a 3.5 percent rise, according to the company’s latest earnings report. Click here to read more.