Reliance (RS) Jefferies Global Industrials Conference 2026 summary

Market trends and demand outlook

• Demand remains strong across most end markets, with notable strength in non-residential construction, infrastructure, data centers, and electrification-related products.

• Carbon steel, general manufacturing, and transportation each represent about a third of business, with recent improvements in general manufacturing and aerospace.

• Copper and aluminum products are in short supply, with allocation into 2027 for some carbon products.

• Automotive demand remains healthy, with participation mainly through toll processing, avoiding direct metal price risk.

• Semiconductor and aerospace sectors are showing renewed growth after previous lags.

Tariffs, trade policy, and supply chain

• Potential reduction of Canadian tariffs to 25% could improve trade flow, but uncertainty remains on exact impacts.

• Previous tariff hikes led to immediate price increases and inventory reductions due to devaluation concerns.

• Customers are cautious with aluminum inventory, anticipating possible tariff changes and price drops.

• Domestic supply relationships (95% domestic sourcing) provide a competitive advantage and supply security.

• Section 232 tariffs are expected to remain, supporting industry protection and healthy price levels.

Growth strategy and industry consolidation

• Growth has been driven by 76 acquisitions since 1994, with a recent focus on organic growth and value-added processing.

• Over the past three years, organic shipment growth has outpaced industry averages, with significant volume gains in 2025 despite no acquisitions.

• Continued industry consolidation is expected, with recent large transactions potentially increasing pricing discipline.

• Disruptions from mergers have led to customer and employee gains.

• Service center market remains fragmented, with significant room for further consolidation.