AHMSA director concerned about exchange rate’s effect on steel

Friday, 05 December 2014 01:53:28 (GMT+3)   |  
       

Miguel Elizondo, director of sales and marketing of Altos Hornos de México (AHMSA), confirmed that the sliding of Mexican peso had the immediate effect of a rise in industrial inputs. "Given the market situation with depressed prices, the steel industry cannot absorb these costs as was done in the past, which were reflected immediately in the price of steel products."

Following the recent depreciation experienced by the peso, different steel products recorded a price increase of 6 percent this week on the rise in the domestic market. For wholesale transactions between banks, brokerages, exchanges, companies and individuals, the dollar rose to 14.0026 Mexican pesos on Monday. Elizondo said that in the course of the year, steel prices in the Mexican market remained low, which has hindered the operation of enterprises in the sector by limiting flows, a situation aggravated by the rising dollar fluctuation.