The steel industry is also strengthening from measures taken by the Commerce Department to reduce the supply of cheap Chinese steel imports, which have contributed to the lingering low prices. The commerce Department imposed a 266% tariff on Chinese cold-rolled steel imports and prices have rallied roughly 21% over teh past two months reports James Passeri for TheStreet.
“Tarrifs on steel imports, particularly those of Chinese steel, have risen following efforts to support a restructuring in the sector. Oversupply has been an issue for the steel industry in recent years,” reports CNBC.
Although the environment has improved for steelmakers, AK Steel and US Steel are both expected to deliver quarterly losses.
VanEck Vectors Steel ETF