According to published reports, both Nucor and Steel Dynamics are reducing their raw material surcharges. The cuts will take go into effect the first of next month.
Nucor said that it is cutting its surcharge for flat-rolled products by $30 per ton, beginning with shipments the first of May.
Steel Dynamics, another steel minimill operation, announced it would be cutting its surcharges for flat-rolled steel as well. However, the company said it is looking at raising base prices for the product due to high demand from consumers.
The company said that it is considering a $40 per ton base price increase on sheet steel products shipped on or after May 17, although the hike is not official.
Both companies implemented surcharges earlier this year to offset the soaring price for ferrous scrap, a primary raw material from both companies.
However, with ferrous scrap prices coming down, these steel companies, as well as other larger consumers of scrap, are rolling back a portion of the surcharges.