Brazil exported 6,700 mt of CRC in December, against 20,500 mt in November, at an average FOB price increased by 13 percent to $475/mt, according to the ministry of development, industry and foreign trade, MDIC.
The reduced volume exported reflects chiefly exports to the US reduced from 6,800 mt in November to a non-relevant volume in December, and exports to the EU declined from 12,500 mt to 400 mt, while 6,200 mt at $478/mt FOB was shipped to Argentina.
Usiminas was the top exporter, 5,800 mt at $481/mt FOB, while ArcelorMittal exported 800mt from its plant in the state of Santa Catarina.
A source from a small distributor in Rio de Janeiro told SteelOrbis that he is selling CRC in the domestic market at BRL 2,835/mt ($706/mt), following a recent 5 percent price increase, while a large distributor in the south of the country told SteelOrbis that his price is stable for CRC since February 2015, BRL 2,550 ($635/mt), both prices FOB, full taxes except IPI.
For the full-year 2015, Brazil exported 260,800 mt of CRC at an average price of $558/mt, against 175,700 mt at $728/mt in 2014, both FOB conditions.
Such increased volume exported reflects chiefly the devaluation of the BRL vis-à-vis the US dollar, reducing in relative terms the local production costs, but sources believe that the reduced domestic demand has also played a role, by increasing the volume available for export.
1 USD = BRL 4.00 (January 14)