Steel Products Manufacturers NAICS 3312

Dec 21, 2025 - China to Implement Export Controls on Some Steel Products

• China’s decision to impose export controls on roughly 300 categories of steel products starting January 1, 2026 will reshape global steel flows and directly affect US steel product manufacturers, The Wall Street Journal reports. Exporters in China will now need government permission to ship items such as billet, hot‑rolled coil, stainless steel, bar, and pipe, all materials that have contributed to China’s record‑high steel exports in 2025, according to Bloomberg. For US makers of steel products, China’s move to curb the outflow of steel and steel products would likely result in less downward price pressure from low‑cost Chinese steel, improving domestic pricing power. However, US manufacturers that rely on imported semi‑finished or specialty Chinese steel could see tighter supplies and rising costs. China’s exports of steel products are on track to hit a record in 2025, according to WSJ.
• US factory activity slowed to a four‑month low in November as tariffs pushed prices higher and softened demand, leading to a buildup of unsold goods, US News reports. The slowdown puts pressure on manufacturers by reducing new orders and requiring companies to carry elevated inventories, which ties up cash and limits production flexibility. Manufacturers are also facing weaker consumer demand for durable goods, as the University of Michigan survey reported a sharp drop in buying conditions, an early warning sign for sectors like machinery, appliances, autos, and fabricated components. Higher input costs from tariffs further squeeze margins, while slowing new orders suggest that production growth will remain muted, signaling a challenging environment heading into 2026. Overall, manufacturers can anticipate slower output, tighter margins, and prolonged inventory imbalances, increasing the need for cost control and demand forecasting improvements.

• In September, domestic steel prices fell to their lowest levels since February, giving up earlier tariff-driven gains, OilPrice.com reports. Weak demand from the construction sector, short mill lead times, and volatile durable goods orders are putting downward pressure on prices, including for hot-rolled steel coil, which in early September saw its lowest price since February. The Raw Steels Monthly Metals Index (MMI), which tracks steel prices, fell nearly 1% from August to September. In the first quarter, prices jumped $241 per short ton following tariff announcements by the Trump administration. However, since peaking in March, prices have fallen $109 to $818 per short ton. Prices for cold-rolled coil and hot-dipped galvanized steel are also trending downward. While tariffs have provided support for domestic steel prices, declining demand from the construction and manufacturing sectors is dragging down steel prices.
• Producer prices for steel product manufacturers from purchased steel rose 5.8% in September compared to a year ago, after falling 7.1% in the previous September-versus-September annual comparison, according to the latest US Bureau of Labor Statistics data. Producer prices for makers of steel products have tumbled 25% from their peak in May 2022, when strong demand from key customer industries drove prices to new heights. More recently, prices have risen by 7.4% since January 2025. Industry employment grew 1% year over year in August, while average industry wages at primary metals manufacturers rose 1.4% YoY in September to $29.62 per hour, down about $0.40 from its high in July, BLS data shows.