Goncalves shrugs off overcapacity worries

Oct 21, 2011 | 04:26 PM | Corinna Petry

Tags  Lourenco Goncalves, Metals USA, hot rolled coil pricing, mill costs, CEO and boardroom responsibility, manufacturing sector, corinna petry

CHICAGO — Metals USA Holding Corp.’s top executive continues to shrug off overcapacity concerns in the domestic flat-rolled steel market, maintaining that steelmakers will have to come up with a different explanation for their shareholders as to why prices look poised to dip below costs.

"Let’s talk about the so-called overcapacity question. I’m going to destroy it right now," Lourenco Goncalves, Metals USA’s chairman, president and chief executive officer, said Friday during the company’s quarterly earnings conference call.

Although a number of domestic mills are ramping up sheet production, demand also is on the rise, he said, keeping the market in relative balance—and making the mills’ capacity alarm bells unwarranted.....





Latest Pricing Trends

Poll

Is severe weather affecting your business?

Yes
No


View previous results