Sources tell SteelOrbis that current Mexican HRC prices are going for about $390/mt ex-mill in the domestic market, reflecting a $105/mt decline over the last few months.
The falling price of HRC and other flat steel products—in line with the international market—is one reason why the major producers are planning to diversify their businesses and seek strategic partnerships throughout the value chain.
Such is the case of Altos Hornos de Mexico (AHMSA), which is currently seeking out processing companies from Europe and the US, to form a “cluster” near its mills to serve the automotive industry. Because such assemblers are currently located in other Mexican states, AHMSA said it is even willing to provide land near its mills to establish new facilities.