NEW YORK "Minor"
unplanned outages led to a drop in first-quarter crude steel
production at Evraz Plcs North American operations, the
company said, although it expects to reach its targeted output
in the second quarter as "technical issues" at the
steelmakers plants have now been resolved.
Crude steel production fell 8
percent to 561,000 tonnes in the first quarter compared with
the same year-ago period, the London-based steelmaker said
April 18, while finished steel output at its U.S. operations
improved 7.7 percent to 717,000 tonnes in the same comparison
due to continued high utilization rates.
Tubular production showed the
sharpest gain, rising 12.1 percent year on year to 231,000
tonnes, while flat-rolled steel rose 7.7 percent to 281,000
tonnes and railway products gained 4.3 percent to 122,000
tonnes, the company said.
On a sequential basis,
flat-rolled steel output was up 31.3 percent from 214,000
tonnes due to an improvement in order books, consistent with
the companys expectations (amm.com, Jan.
First-quarter tubular production
fell 5.7 percent compared with the fourth quarter due to lower
spiral-weld and line pipe sales, although the lull is expected
to be temporary, according to Evraz, which owns Chicago-based
Evraz Inc. North America.
However, it added that overall
tubular production volumes could be crimped in the second
quarter due to lower drilling activity in Canada and increases
imports in North America.
Average selling prices for all
of Evrazs products fell during the quarter compared with
the same period last year, with average flat-rolled prices
notching an 18-percent drop to $876 per tonne from $1,068 per
First-quarter selling prices for
construction products fell 14 percent to $794 per tonne,
railway product prices dropped 11.8 percent to $934 per tonne
and average tubular tags receded 11.4 percent to $1,387 per
tonne compared with the same period last year, Evraz said.
Price performance on a
sequential basis was mixed, with construction products rising
4.5 percent and railway products showing a modest 1.1-percent
gain due to higher scrap prices. Meanwhile, flat-rolled
products fell 3.3 percent and tubulars dropped 2.5 percent in
the same comparison, the company said.
Oil country tubular goods
products saw some pricing pressure due to overcapacity, higher
import levels and "relatively" high distributor inventory
levels, Evraz added.