Steel
Overview
The price indices in our Argus Ferrous Markets and Argus Global Steel services are widely used by companies in physical supply contracts around the world – for iron ore, coking coal, hot-rolled coil (HRC) and ferrous scrap.
Many of them are used as the settlement prices for cash-settled futures contracts launched by exchanges to allow users of the derivatives who also transact in the physical market to minimize basis risk while hedging. These cash-settled monthly futures contracts are settled against the arithmetic mean of all the published Argus prices during each calendar month.
Using indices allows companies to trade material on an index-linked basis, not only via fixed-prices sales. This offers significant advantages when prices are volatile, yet the modern finished steel market remains primarily transacted on a fixed price basis. The addition of futures markets offers opportunities to enhance supply chain resilience further.
Latest steel news
US vehicle sales slip in April from 4-year high
US vehicle sales slip in April from 4-year high
Houston, 5 May (Argus) — Domestic sales of light vehicles in April slipped from a four-year high the prior month but still reflected robust purchasing ahead of planned implementation of more US tariffs on the automotive industry. Sales of light vehicles — trucks and cars — dipped to a seasonally adjusted rate of 17.3mn units in April, down from 17.8mn in March, the Bureau of Economic Analysis reported today. Last month's total still was above April 2024's annualized rate of 16mn and was the second-highest monthly reading since April 2021. US consumers maintained steady purchasing last month in a rush to beat 25pc tariffs on imports of vehicle parts that were set to be implemented on 3 May. Those higher duties are expected to raise input costs for domestic automakers, and thus, prices for buyers. US president Donald Trump early last week signed an order that allows vehicle manufacturers to partially recoup tariff-related costs, helping to ease the burden. Still, Trump maintained his goal of forcing US automakers to become wholly reliant on auto parts made in the US. Trump already instituted 25pc tariffs on imports of foreign-made vehicles on 3 April. Tariff-related pressures have dented US consumer sentiment and weighed on domestic manufacturing activity, but certain pockets of the economy have shown resilience such as the services industry and employment. Truck sales last month fell by 1.9pc sequentially to 14.4mn unit rate, while car sales dropped by 8.8pc to a 2.9mn unit rate. Domestic vehicle production fell to a seasonally adjusted annual rate of 10.07mn from an upwardly revised 10.09mn in February, according to US Federal Reserve data. That compares with 11.08mn in March 2024. Auto assemblies are reported with a one-month lag to sales. By Alex Nicoll Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Ford expects $1.5bn tariff hit in 2025
Ford expects $1.5bn tariff hit in 2025
Pittsburgh, 5 May (Argus) — Ford expects tariffs to cost the US automaker about $1.5bn in profit this year, causing the firm to withdraw its full-year financial guidance today. Tariffs and the uncertain rollout of potential changes to those tariff caused the Dearborn, Michigan-based company to suspend its 2025 guidance, which was initially projected at $7bn-8.5bn in earnings before interest and taxes. US president Donald Trump has place 25pc import taxes on vehicles, steel and aluminum, placing immense pressure on US automakers, many of whom have operations in Mexico and Canada. Ford is the third major US automaker to rescind its financial guidance in the past week following similar decisions by Stellantis and General Motors . By James Marshall Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Australia's Labor win may aid low-carbon Fe, Al sectors
Australia's Labor win may aid low-carbon Fe, Al sectors
Sydney, 5 May (Argus) — The Australian Labor party's victory in the country's 3 May parliamentary election could support low-carbon iron and aluminium developers, providing policy clarity and public capital to the sectors. Labor's victory provides more certainty around Australia's A$14bn ($9.06bn) green hydrogen subsidy scheme, which will help steel producers transition towards hydrogen-powered steel furnaces. The opposition Coalition during the election pledged to scrap the programme, which will allow producers to claim A$2/t of green hydrogen produced from 2027. Australian steelmaker NeoSmelt and South Korean steelmaker Posco are developing electric iron smelters in Western Australia (WA) that produce hot-briquetted iron, which is used in the green steel process. Both projects will initially rely on natural gas but may transition to hydrogen-based processing as hydrogen production rises. Australia's hydrogen tax credits may prove crucial given ongoing hydrogen production challenges. South Australia's state government closed its Office of Hydrogen Power SA on 2 May, following a funding cut earlier this year. Labor can now also move forward with plans for A$2bn in low-emissions aluminium production credits, beginning in 2028-29. Smelters will be able to claim credits per tonne of low-carbon aluminium produced, based on their Scope 2 emission reductions. The party's proposal does not include any blanket credit for producers. Labor's aluminium production credits are aimed at supporting the Australian government's goal of doubling the country's share of renewable power from about 40pc to 82pc by 2030. Australian producers export about 1.5mn t/yr of aluminium, according to industry body Australian Aluminium Council, from four smelters located around the country. Green iron funding Labor's election win also secures its A$1bn lower-emission iron support pledge , first announced in late February. Half of the fund will go towards restarting and transitioning the 1.2mn t/yr Whyalla steelworks in South Australia into a green steel plant. The other half will support new and existing green iron and steel projects to overcome initial funding barriers. Labor has not allocated any funding through the programme yet. By Avinash Govind Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Cliffs to idle 3 US steel mills this summer
Cliffs to idle 3 US steel mills this summer
Houston, 2 May (Argus) — Integrated steelmaker Cleveland-Cliffs will indefinitely idle its Conshohocken, Riverdale, and Steelton steel mills this summer in response to weak demand for the products produced at the mills. The idlings will impact about 950 workers spread across the 700,000 short ton (st)/yr Riverdale high-carbon coil mill in Illinois, the 500,000st/yr Conshohocken specialty plate mill in Pennsylvania and the 300,000st/yr Steelton, Pennsylvania railroad rail mill, a company spokesperson told Argus . Cliffs said the moves are temporary and will begin at the end of the required 60-day WARN notice periods in their respective states — on or about 30 June. By Marialuisa Rincon Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
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