Shipments of steel and aluminum from metals service centers in the U.S. and Canada continued to decline in June, but generally at a slower rate than in previous months, according to the most recent Metals Activity Report from the Metals Service Center Institute. The report also indicates that during June, inventories of both metals fell in the United States, while in Canada, steel inventories declined and aluminum stockpiles were essentially flat with those of May.
According to the report, steel product shipments from U.S. metals service centers totaled 2.46 million tons in June, a 41.8% decrease from June 2008 shipments. First-half steel shipments totaled 14.8 million tons, down 43.9% year-over-year. By the end of June, steel inventories at U.S. metals service centers totaled about 5.98 million tons, down 44.4% from those of last year. At current shipping rates, this volume is equal to a 2.4-month supply.
In Canada, steel shipments from metals service centers totaled 399,200 tons in June, a 31.7% decline from June 2008. Shipments through the first half totaled 2.46 million tons, down 35% compared with a year ago. By the end of June, inventories totaled about 1.05 million tons, 33% below last year. At current shipping rates, this volume is equal to a 2.6-month supply.
Aluminum product shipments from U.S. service centers totaled 89,700 tons in June, a reduction of 39.1% from a year ago, while first-half shipments of 524,600 tons of aluminum were down 43.2% year-over-year. By the end of June, inventories totaled 269,800 tons, a 44.1% reduction from a year ago. At current shipping rates, this volume is equal to a 3.0-month supply.
In Canada, aluminum shipments from metals service centers totaled 11,200 tons, 26.2% below volume for the same month last year. First-half aluminum shipments totaled 65,100 tons, a 26.4% decline. Month-end inventories totaled 31,700 tons, a decline of 15.7% from a year ago. At current shipping rates, this volume is equal to a 2.8-month supply.
The Metals Activity Report (MAR), based on data from metals service centers in the United States and Canada, is produced by the Metals Service Center Institute and a third-party econometrics and strategy firm, McCoy, Scott & Co.
Founded in 1909, the Metals Service Center Institute has more than 375 members operating from about 1200 locations in the U.S., Canada, Mexico, and elsewhere in the world. Together, MSCI members constitute the largest single group of metals purchasers in North America, amounting each year to more than 55 million tons of steel, aluminum, and other metals, with about 300,000 manufacturers and fabricators as customers. MSCI’s membership also includes most ferrous and non-ferrous industrial metals producers in North America. Metals service centers inventory and distribute metals and provide first-stage fabrication services.