Why is the US steel industry important?
The US steel industry has shown clear demand for a hedging and price risk management tools like the LME steel billet contract and as the economy recovers, the physical industry will be able to collateralise material and hedge against price movements as exporting increases again. As with Europe and Asia, the LME are assessing potential new delivery locations in the US, as well as reviewing new steel brand applications to facilitate the adoption of the LME’s new global steel contract by US market participants.