STEEL SUPPLIES

New Zealand Herald, Volume LXXV, Issue 23023, 28 April 1938, Page 14

STEEL SUPPLIES

ENGLISH INDUSTRY STOCKS AGAIN AVAILABLE THE AUCKLAND MARKET IMPORTS FROM AUSTRALIA Advices received by Auckland importers from English steel works are to the effect that manufacturers are now not only able to cater for the British domestic demand for steel but are in a position to export steel rods, flats, plates and, indeed, practically all types of steel. This moans that the British steel industry, or a section of it, has substantially overtaken the extraordinary demand caused by British rearmament which caused steel shortages on the world markets. The Dominion will still draw most classes of steel produced in Australia from that country, it was explained by importers. They stated that British steel exporters, with the handicap of 25 per cent exchange, were hardly likely to be in a position to compete with most classes of Australian steel on landed costs. Moreover, Australia enjoyed the advantage when ordering supplies of close proximity to the Dominion.

Inquiry from Canada by importers reveals the fact that Canada is in a position to give prompt shipment of steel, but landed costs are close to £2 a ton more than for Australian supplies. While the Kekerangu brought some hundreds of tons of steel from Australia, an acute shortage of steel reinforcing rods, chiefly in the £in. size, has not been relieved, it is further stated. The acute steel scarcity in Auckland is mostly in rods and flats, the latter being used in the engineering industry. The market is now fairly well supplied with girders in the various sizes required by the building industry. The scarcity in steel has been in existence so long that requirements are now ordered fairly well ahead. Orders are now being supplied from Australia within 18 to 20 weeks for sections or girders and within 40 weeks for reinforcing rods. The experience is that acute scarcities develop from time to time for different classes of steel fairly close to periods in which such types are rolled at the mills.