Core Viewpoint - The administration is considering a plan to ease tariffs on certain consumer goods while simultaneously protecting U.S. companies from foreign competition [1] Group 1 - The proposed plan aims to balance tariff reductions on consumer goods with measures to safeguard domestic industries [1]

Financial Data and Key Metrics Changes - Total shipments in Q4 2025 were 3.8 million tons, slightly lower than Q3 due to seasonal impacts, with expectations to improve to 4 million tons in Q1 2026 [17] - Q4 price realization was $993 per net ton, down by approximately $40 per net ton, but expected to improve by about $60 per ton in Q1 2026 [18][22] - Unit costs decreased by $40 per ton in 2025, marking the third consecutive year of reductions, with further expectations of a $10 per ton decrease in 2026 [19] Business Line Data and Key Metrics Changes - The company has shifted melting capacity from low-margin slabs to higher-margin flat-rolled products, anticipating continued demand for domestically produced slabs [5] - The automotive sector remains the core end market, with multi-year fixed-price contracts signed with major OEMs, expected to enhance market share and profitability in 2026 [7][9] Market Data and Key Metrics Changes - The spot steel price is at a two-year high, benefiting from Section 232 tariffs and increased domestic production [6] - Canadian pricing and shipments have improved following government restrictions on imported steel, positively impacting the Canadian subsidiary, Stelco [12] Company Strategy and Development Direction - The company is focused on leveraging existing production capacity without the need for new plants, positioning itself to benefit from the anticipated increase in domestic automotive production [8][10] - A strategic partnership with POSCO is a top priority, aimed at enhancing collaboration and meeting U.S. trade requirements [14][53] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the improving business environment, citing a solid order book, rising prices, and declining costs as key factors for 2026 [22] - The company is well-positioned to capitalize on the return of vehicle production to pre-COVID levels, with expectations of significant throughput and profitability gains [23] Other Important Information - The company achieved a record low total recordable incident rate in 2025, reflecting a 43% improvement compared to 2021 [15] - Capital expenditures in 2025 were $561 million, with projections for 2026 to be around $700 million, reflecting normalized maintenance spending [20] Q&A Session Summary Question: Expected benefits from the cancellation of the slab contract - Management anticipates an EBITDA improvement of approximately $500 million from the cancellation of the slab contract, with benefits expected to materialize more significantly in Q2 2026 [27][31] Question: CapEx expectations beyond 2026 - CapEx is projected to be $700 million in 2026, increasing to $900 million in 2027 due to a blast furnace reline, then returning to $700 million in 2028 [34] Question: Open capacity and potential for contracting - The company has significant downstream capacity available, with the ability to produce specialized steel products, contingent on increased domestic automotive production [39][41] Question: Outlook for Q1 2026 - Shipments are expected to return to 4 million tons in Q1 2026, with ASP projected to increase by $60 per ton, driven by improved demand and pricing dynamics [44][46] Question: Impact of Stelco on earnings - Stelco's performance in 2025 was disappointing, but improvements are expected in 2026 as Canadian market dynamics change, contributing positively to overall results [60][64]

ArcelorMittal's average steel price fell by 3% in dollar terms after the South African currency’s gains https://t.co/w6LHbnFNr7 ...

Core Viewpoint - Commercial Metals Company (CMC) is expected to report a year-over-year improvement in revenues and earnings for the first quarter of fiscal 2026, with earnings anticipated to jump 99% year-over-year [1][2][6]. Financial Performance Expectations - The Zacks Consensus Estimate for CMC's fiscal first-quarter revenues is $2 billion, reflecting a 4.6% decrease from the previous year [1]. - The consensus estimate for earnings is $1.55 per share, which has increased by 2.6% over the past 60 days and indicates a year-over-year rise of 98.7% [2][6]. Earnings Surprise History - CMC has had mixed earnings surprises in the past four quarters, beating estimates once, matching once, and missing twice, with an average surprise of -6.3% [5]. Market Conditions and Performance Drivers - The company is facing challenges from a prolonged economic slowdown in the Western world and weaker-than-expected steel demand, particularly in Europe [10]. - Despite these challenges, CMC expects improved steel margins in North America due to price hikes offsetting rising scrap costs [6][12]. Strategic Acquisitions and Synergies - CMC has recently completed two significant acquisitions, positioning itself as a leading player in the Mid-Atlantic and Southeastern regions, with expected annual run-rate synergies of $25-$30 million from these acquisitions by year three [18][19]. Valuation and Stock Performance - CMC shares have increased by 56.1% over the past year, outperforming the industry average of 54.5% and the S&P 500's 21% [13]. - The company is currently trading at a forward price/sales ratio of 0.96, which is lower than the industry average of 1.59 [15]. Investment Considerations - Given the expected strong fiscal first-quarter results driven by improving conditions in Europe and demand in North America, along with favorable valuation and upward earnings estimate revisions, it may be a good time to consider investing in CMC [20].

Core Insights - American Battery Technology Company (ABTC) has been contracted by the U.S. Environmental Protection Agency (EPA) to recycle end-of-life lithium-ion batteries from the largest cleanup operation in EPA history, focusing on safe processing of damaged battery materials [1][2][3] - ABTC has enhanced its Nevada facility to handle large-scale shipments of damaged battery materials, which are being processed under strict EPA oversight [1][2][4] - The project aims to recover valuable critical materials such as lithium, cobalt, nickel, aluminum, steel, and copper, contributing to a closed-loop U.S. critical mineral manufacturing supply chain [3][5] Company Developments - ABTC is one of the few battery recyclers in the Western U.S. approved to handle batteries classified as CERCLA waste, which includes those damaged in large-scale thermal events [2][3] - The estimated value of recycled products generated from processing all battery materials from the cleanup site is approximately $30 million at current market prices [4] - The company is committed to a circular supply chain for battery metals and is focused on innovating technologies to support the electrification transition and sustainable energy future [7][8] Industry Context - The cleanup operation underscores the increasing need for specialized battery recycling capabilities as electric vehicles, grid storage systems, and consumer electronics continue to proliferate [5] - The collaboration between industry leaders and regulators is establishing safety and materials management standards for future large-scale battery facilities [5] - The project aligns with national efforts to enhance domestic critical mineral recycling infrastructure, addressing challenges in managing damaged lithium-ion batteries [3][5]

Trade & Tariffs - Donald Trump 对美国铝、铜和钢铁进口征收的关税创造了巨大的套利机会 [1] - 金属交易商正忙于利用这些套利机会 [1]

Core Viewpoint - The European Union has announced a significant increase in steel tariffs and a reduction in import quotas, which has raised concerns in the U.K. steel industry and among European car manufacturers [2][4][14]. Group 1: EU Tariff Changes - The EU plans to reduce tariff-free quotas on imported steel by 47% compared to 2024 quotas and increase tariffs from 25% to 50% on excess imports [2]. - These measures are intended to provide strong protection for the EU steel industry, safeguard jobs, and support decarbonization efforts [3]. Group 2: Impact on the U.K. Steel Industry - The U.K. steel industry is already facing significant challenges, including closures and job losses, and the new tariffs could exacerbate this crisis [4][6]. - The EU accounts for approximately 80% of U.K. steel exports, making the tariffs a potential threat to access its largest market [7]. Group 3: Reactions from Industry Stakeholders - The U.K. government is urged to leverage its trading relationship with the EU to secure country quotas to avoid disaster for the steel sector [6]. - The European Automobile Manufacturers' Association (ACEA) has expressed concerns that the new measures could negatively impact the domestic car industry, which relies heavily on EU-sourced steel [14]. Group 4: Broader Context - The EU's actions follow similar tariff measures by the U.S. and Canada aimed at protecting their domestic steel industries from cheaper imports, particularly from China [9]. - The EU has indicated a willingness to exempt certain countries, such as Ukraine, from these duties, highlighting the need for a balanced approach [12].

Trade Policy - The European Union intends to double steel import duties to 50% [1] - This action aligns the EU's tariffs with those of the US [1] Industry Impact - The EU's goal is to protect its heavy industry [1]

Trade Policy - Expanded steel and aluminum tariffs are just the beginning [1] - New levies are likely for sectors such as semiconductors, heavy trucks, and commercial aircraft [1]

Trade Policy Impact - The logistics industry was surprised by the expansion of steel and aluminum tariffs to over 400 consumer goods containing these metals [1] - Affected consumer goods include items like motorcycles and tableware [1]