US Steel Prices Pause Amid Tariff Confusion
US steel prices have paused after a sharp rise in Q1, due to market confusion over changing import tariffs.
buyers are now holding off on purchases, uncertain about future costs.
Market analyst Laura Hodges reported that hot-rolled coil (HRC) prices surged nearly 40% earlier this year.
However, that momentum has now halted. In April’s MEPS International Steel Review, Hodges explained that businesses feel “paralysed” and unable to plan ahead.
This stall in demand coincides with a temporary halt in new tariff implementations. President Trump paused the planned 11–50% “reciprocal” tariffs for 90 days.
He also reinstated the 25% Section 232 steel and auto import tariff less than two months ago.
Steelmakers React, But Demand Remains Flat
Many steel producers raised prices in anticipation of reduced competition from low-cost imports.
Importers accelerated shipments ahead of tariff deadlines, increasing steel inflows during Q1.
Despite this, Hodges does not foresee a US recession. She attributes the recent GDP dip of 0.3% to inventory movements and import surges.
Analysts predict that steel prices will remain in a holding pattern through May and June.
Unless market clarity returns, buyers are unlikely to commit to large-scale procurement in the short term.
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