US-based Nucor Corp., the largest steel producer in the United States, reported third-quarter results that beat Wall Street expectations thanks to high steel prices, according to Bloomberg.
The Charlotte, North Carolina-based company posted net earnings of $5.80 per share, above the average analyst estimate of $5.77. Sales reached $11.2 billion, exceeding the expected $10.8 billion.
Nucor remains one of the main beneficiaries of the protectionist policies of Donald Trump’s administration. Tariffs and other trade barriers have restricted imports and allowed domestic producers to raise prices, offsetting rising costs and volatile demand. The market benchmark, hot rolled coil, rose to $1,292 per short ton, its highest level since May 2022.
Nucor’s strong results helped curb the decline in steel sector shares that began after reports that the US might ease tariffs on Canadian steel. Loosening the restrictions poses risks to domestic prices and erodes the competitive advantages of American companies.
Additional challenges for the industry include uncertain demand from construction and machinery manufacturing, as well as the risk of oversupply as new production capacity comes on stream.
Nucor’s success confirmed the general trend in the sector: earlier, its competitor Cleveland-Cliffs also reported a jump in profit, which quadrupled y/y.
As GMK Center reported earlier, domestic steel prices in the US rose to their highest level in more than four years. The main driver of the increase was the restriction of imports due to trade tariffs imposed by President Donald Trump. This supported domestic producers but significantly increased costs for US manufacturers.
Courtesy : https://gmk.center/en
