Industry Minister Melanie Joly says Canada can do more to counter foreign steel dumping https://t.co/XU1CrwnilC ...

Nippon Steel Corp. said it’s moving closer to its long-term goal of reaching 100 million tons of annual crude steel production capacity after its acquisition of United States Steel Corp. https://t.co/81EmZUN09p ...

Trade Relations & USMCA - Canada views its actions as an olive branch to the US, seeking reciprocal benefits [1] - The US is preparing for a review of the USMCA trade agreement in 2026 [2] - Canada adjusted retaliatory tariffs to mirror the US's respect for USMCA-compliant imports [3] - Resetting sectoral tariffs could present an economic opportunity for both Canada and the US [8] - Canada aims to strengthen commitment to the USMCA, mirroring the US's decision to provide Canada with a carve out, giving it a marginal advantage over other countries [16] Strategic Sectors & Tariffs - Negotiations regarding steel and aluminum tariffs are ongoing, with optimism for rate reduction [5] - The US has provided little relief on Section 232 tariffs globally, including to major trading partners [6] - Integrated supply chains exist between Canada and the US in sectors like automobiles, aluminum, and softwood lumber [7] - Canada and the US have taken tough measures against dumping from countries like China [8] Investment & Economic Integration - Canada is the second most important foreign direct investor in the US economy [10] - Canadian pension funds alone have almost $1 trillion (USD) invested in the US economy, with potential for $100 billion (USD) annual growth [11] - Investment opportunities exist in sectors like energy, mineral projects, defense, and security [12][13]

Metallus (MTUS) FY Conference Summary Company Overview - Metallus is a specialty metals manufacturing company based in Canton, Ohio, with over 100 years of operation, previously a division of Timken Company until its spinout in 2014 as Timken Steel, and rebranded to Metallus in 2024 [4][5] - The company employs approximately 1,900 people, including 1,200 United Steel workers [5] Financial Performance - In the last fiscal year, Metallus shipped approximately 555,000 tons with a 60% melt utilization, resulting in $1.1 billion in sales [7] - The first half of the current year saw a 28% increase in shipments compared to the second half of the previous year [7] - The second quarter of the current year reported net sales exceeding $300 million, a sequential increase of $24 million (9%) driven by higher shipments across all end markets [23] - Adjusted EBITDA for the second quarter represented the highest quarterly profits in over a year, with operating cash flow at 1.3x EBITDA [23] Market Position and Product Offerings - Metallus has a 12% share of the U.S. Special Bar Quality (SBQ) steel consumption and a 40% share in seamless mechanical tubing [8][9] - The company serves diverse end markets, including automotive, industrial, energy, and aerospace/defense [10][12] - Notably, Metallus is the sole domestic producer of specialized high fragmentation steel for the U.S. Army, with a $100 million contract to increase capacity for 155mm shells [13] Growth Initiatives - The company is targeting $250 million in sales to the defense market by 2026, more than double historical sales levels [15] - Metallus is also focusing on vacuum arc remelt steel, aiming for $30 million in sales in this market in 2025 [18] - Investments in production capacity and operational efficiencies are expected to yield annual savings of approximately $10 million starting in 2026 [28] Challenges and Cost Management - Planned annual shutdown costs are expected to be around $15 million in the second half of the year, with $3 million to $5 million in non-recurring labor agreement costs anticipated [25][27] - Higher electricity costs are projected to add $2 million to $3 million in quarterly expenses [26] Strategic Outlook - Metallus maintains a disciplined capital allocation strategy, targeting $250 million to $300 million in liquidity and focusing on organic and inorganic growth opportunities [31][32] - The company has reduced its pension liability from over $1 billion in 2021 to less than $500 million today, with a funded position of about 84% [34] - Metallus has a share buyback authorization with over $93 million remaining, having reduced diluted shares by over 25% since early 2022 [35] Investment Rationale - Metallus presents an attractive entry point for investors, with a strong balance sheet, liquidity, and a focus on operational efficiencies [36] - The company is positioned to benefit from domestic production trends and government investments in national defense [37] Additional Opportunities - The company is exploring additional funding opportunities, including a potential $10 million bill from Congress for expanding capabilities [39]

Summary of Key Points from the Conference Call Industry Overview - The report focuses on the **China Materials** industry, specifically the **steel sector** and its demand trends in China [1] Core Insights and Arguments - **Demand Recovery Expectations**: Market expectations for a demand recovery in the steel sector remain cautious, with the current sector pecking order being aluminum > steel > copper > thermal coal > battery > gold > lithium > cement [1] - **Steel Production Data**: - For the week of August 15 to August 21, total steel production in China was **8.8 million tons (mt)**, reflecting a **0.7% week-over-week (WoW)** increase and a **13.6% year-over-year (YoY)** increase. - Breakdown of production: - Rebar: **2.1 mt** (-2.6% WoW, +33.7% YoY) - Hot-Rolled Coil (HRC): **3.3 mt** (+3.1% WoW, +4.8% YoY) - Cold-Rolled Coil (CRC): **0.9 mt** (-0.1% WoW, +12.6% YoY) [1] - **Year-to-Date Production**: - Total steel production from the beginning of the year to date was **291.4 mt**, showing a **0.1% YoY decrease**. - Year-to-date production breakdown: - Rebar: **72.6 mt** (-1.8% YoY) - HRC: **108.8 mt** (+0.7% YoY) - CRC: **29.4 mt** (+2.6% YoY) [1] - **Steel Inventory Levels**: - As of August 21, China's steel inventory stood at **14.4 mt**, which is a **1.8% WoW increase** but a **12.2% YoY decrease**. - Inventory breakdown: - Steel mills: **4.2 mt** (-0.3% WoW, -5.4% YoY) - Traders: **10.2 mt** (+2.7% WoW, -14.8% YoY) - Total inventory of rebar, HRC, and CRC was **6.1 mt**, **3.6 mt**, and **1.4 mt** respectively, with varying changes WoW and YoY [1] - **Apparent Consumption**: - For the week of August 15 to August 21, apparent steel consumption was **8.5 mt**, a **2.6% WoW increase** and a **2.7% YoY increase**. - Breakdown of apparent consumption: - Rebar: **1.9 mt** (+2.6% WoW, -2.3% YoY) - HRC: **3.2 mt** (+2.1% WoW, +0.8% YoY) - CRC: **0.9 mt** (+1.7% WoW, +8.2% YoY) [1] - **Year-to-Date Apparent Consumption**: - Year-to-date apparent consumption was **288.4 mt**, reflecting a **0.1% YoY decrease**. - Breakdown: - Rebar: **70.5 mt** (-3.7% YoY) - HRC: **108.3 mt** (+1.6% YoY) - CRC: **29.5 mt** (+4.8% YoY) [1] Additional Important Information - The report utilizes data from **Mysteel**, a key source for steel market information in China [1] - The analysis indicates a mixed outlook for the steel industry, with some segments showing growth while others are declining, highlighting the need for careful monitoring of market trends and inventory levels [1]

America is on the cusp of a new steel age. Now, it needs customers. https://t.co/FKAnGNuYG2 ...

Core Viewpoint - Warren Buffett's recent stock purchases in Q2 2025 focus on dividend-paying stocks, highlighting a shift towards income-generating investments despite Berkshire Hathaway's historical lack of dividend payments [1][3]. Group 1: Buffett's Dividend Stocks - Buffett purchased 12 dividend stocks in Q2 2025, all of which pay dividends, with notable new additions including Allegion, D.R. Horton, Lamar Advertising, and Nucor [3][4]. - The stocks purchased have varying dividend yields, with Lamar Advertising offering the highest yield at 4.95%, followed by Chevron at 4.34% [3][6]. - Half of the stocks were new additions to Berkshire's portfolio, with UnitedHealth Group being the largest purchase, totaling over 5 million shares [3][4]. Group 2: Dividend Sustainability - The sustainability of dividends is a key consideration for income investors, with Lamar Advertising and Constellation Brands having high payout ratios of 137.5% and 104.5%, respectively, raising concerns about their ability to maintain current dividend levels [7]. - Other stocks purchased by Buffett have payout ratios below 100%, indicating a more sustainable dividend outlook [7]. Group 3: Historical Performance and Valuation - Chevron stands out as a Dividend Champion, having increased its dividend for 38 consecutive years, making it attractive for income investors [8]. - Valuation is also a concern, with Heico's forward price-to-earnings ratio at 59.5, which may deter some investors, while Pool Corp. and Lamar Advertising have forward earnings multiples of 29.9 and 29.5, respectively [9]. Group 4: Best Picks for Income Investors - UnitedHealth Group is highlighted as a strong pick due to its attractive dividend yield and low payout ratio of 36.8%, with expectations for growth in the coming year [10]. - Chevron is considered the best option for income investors, offering a solid dividend yield, a strong track record of increases, and reasonable valuation at 20 times forward earnings [11].

China has more than quadrupled its exports of steel in semi-finished form so far this year, adding to an unprecedented flood of the metal even after a wave of trade actions. https://t.co/CN6NtKhe6a ...

Core Viewpoint - Warren Buffett's Berkshire Hathaway has acquired a stake in steel manufacturer Nucor, highlighting the strategic importance of steel in the AI infrastructure buildout [1][5][10] Company Insights - Nucor is positioned as a foundational player in the AI narrative, as steel is essential for constructing data centers and other infrastructure necessary for AI technologies [5][10] - The company is not merely a cyclical commodity business; it is viewed as a strategic national security asset that supports various sectors, including data centers, robotics, and autonomous vehicles [10][14] - Nucor's scale and domestic operations provide a competitive advantage over global peers, despite potential trade policy challenges [13][14] Industry Context - The U.S. government recognizes the critical role of steel in the AI buildout, as seen in initiatives like Project Stargate, which involves significant investments in data center infrastructure [6][10] - There is a growing demand for steel driven by trends such as data center construction, grid expansion, and reshoring of U.S. manufacturing, which are expected to support long-term growth for Nucor [14][15] - Buffett's investment strategy reflects a contrarian approach, focusing on less obvious beneficiaries of the AI boom, such as steel, rather than chasing high-flying tech stocks [9][10]

The American Iron and Steel Institute has asked the White House to intervene in a $500 million deal in Brazil that could hand China greater control over global nickel reserves https://t.co/W95CE1FLgK ...