Brazilian steelmakers Usiminas and Companhia Siderurgica Nacional (CSN) are expected to increase steel prices for distributors by December this year, according to several media reports.
“[Flats steelmaker] Usiminas is announcing a readjustment of 12 percent in HRC, 10 percent on CRC, and 9 percent on galvanized steel and heavy plates, effective on December 1,” said Inda’s president, Carlos Loureiro. Inda is Brazil’s steel distributors association.
A media report citing Loureiro said CSN is about to increase steel prices by the second half of December.
Additionally, Inda’s president said local steel producers are able to increase prices within the automotive sector as well.
Usiminas said recently at a Q3 call with analysts and investors that there’s a price difference of about 20-30 percent between what it sells and what it could sell to the automotive industry.
Likewise, CSN said it was expecting a price increase of 10 percent by the beginning of 2017. It also forecast a 25 percent readjustment in steel prices for the automotive segment.
The Inda executive said he doesn’t expect more hikes in steel prices by the beginning of 2017.