US HRC buyers turn to imports amid high domestic prices

US hot-rolled coil (HRC) buyers are increasingly exploring imports to manage rising domestic prices. Supply constraints and extended lead times are driving this shift. As a result, companies are balancing cost against availability in an unusually tight market.

US HRC buyers turn to imports amid tight supply

Domestic US mills face pressure from both tariffs and increased contract commitments. Spot HRC availability is limited as mills prioritize long-term contracts over immediate sales. Consequently, buyers have seen lead times rise to 6.4 weeks by late January 2026.

The US imposed steel import tariffs, starting at 25% in March 2025 and rising to 50% in June, sharply reduced import volumes. HRC imports for January-November 2025 totaled 1.11 million tonnes, 42% lower than the previous year. Meanwhile, domestic spot prices climbed to $964.25/short ton, up from $910/st in early January.

As mills tighten supply, buyers face stretched options. Some domestic producers temporarily turned away buyers amid minor outages and backlogs. US mills also set a spot price floor at $950/st to initiate discussions, signaling continued upward pressure on domestic HRC costs.

Import market slowly gains traction

Despite past challenges, US buyers are now revisiting imports. Southeast Asia and Turkey offered HRC at up to $100/st below US domestic prices. However, long delivery schedules, sometimes extending to mid-Q2 2026, remain a concern.

Extended domestic lead times have made import options more viable. Previously, long import timelines carried too much risk, but now they serve as a buffer to secure reliable inventory. Buyers increasingly view foreign supply as essential to maintain production schedules while domestic mills remain stretched.

SuperMetalPrice Commentary:

The US HRC market is entering a period of structural tightness. Tariffs, high domestic prices, and limited spot supply are pushing buyers toward imports. While this shift could stabilize inventory, it may also prolong price volatility. Monitoring both domestic mill behavior and import lead times will be critical for market participants through 2026.