The latest Metals Activity Report (MAR) released by the Metals Service Center Institute (MSCI) demonstrates that May 2009 steel shipments and inventories of metals service centers in the United States and Canada declined from April 2009 levels and declined even more significantly from May 2008.
May 2009 shipments of steel products from US metals service centers totaled about 2.25 million net tons (nt), representing a 10 percent decline from April and a 48.5 percent decline from May 2008. Furthermore, total US steel shipments over the first five months of the year amounted approximately 12.3 million nt, which is an estimated 44.3 percent decline from the same period of 2008.
Meanwhile, the 6.46 million nt of steel inventory held at US steel service centers at the end of May represented a 9.0 percent decrease from April, and a 38.3 percent decrease from May 2008. At current shipping rates, the May inventory levels reflect about a 2.9-month supply, similar to that at the end of April.
Canadian metals service center steel shipments totaled 375,500 nt in May, which is about a 17 percent decrease from April shipments, and approximately 40.3 percent less volume than was recorded in May 2008. Year-to-date steel shipments total about 2.06 million nt, resulting in a 35.6 percent decline from the same period last year.
Furthermore, Canadian service center inventories were estimated at about 1.12 million nt at the end of May, equivalent to about a 3.0-month supply at current shipping rates, compared to a 7 percent decline from April and a 30.3 percent drop from inventory levels ending in May 2008. April inventory supply was equivalent to approximately 2.6 months at April shipping rates.