Falls Church, VA. January 18, 2016. Steel exports fell again in November, dipping 9.3 percent to 712,164 net tons.
November’s exports, which were more than one-fourth lower than in November 2014, included-
• 364,127 net tons sent to Canada (down 12 percent from October 2015 and 24 percent from November 2014);
• 265,912 net tons sent to Mexico (down 5.6 percent from October 2015 and 24.2 percent from November 2014); and
• 17, 307 net tons sent to the European Union (down 10.7 percent from October 2015 and 20.4 percent from November 2014).
Through the first 11 months of 2015, steel exports were down 16.8 percent at 9.25 million net tons. Exports to Canada, which dropped more than 23 percent to 4.55 million net tons, drove the decline. Exports to Mexico slipped 7.7 percent to 3.54 million net tons, while exports to the European Union were nearly unchanged at 310,328 net tons.
Once again, the primary factor behind the decline in steel exports is the weak Canadian economy. And, once again, there are few signs that things will change soon, especially with the price of oil at or near $30 a barrel. “There is no doubt we are facing considerable headwinds,” Canadian Finance Minister Bill Morneau said. “It is very likely that global economic conditions will remain unfavorable, and that subdued commodity prices will persist.” The northerly gusts from those headwinds can be expected to continue to depress the United States’ steel export totals.