Brazil exported 3,400 mt of heavy plates in August, 63 percent less than the 9,300 mt of July, at an average FOB price 42 percent lower, $347/mt, according to the country’s ministry of industrial, development and foreign trade, MDIC.
The price of the product with more than 10mm in thickness was negatively affected by 2,400 mt shipped to Vietnam at $249/mt, while 700 mt were sold to the US at $500/mt and 300 mt to Latin American countries at $748/mt, all FOB conditions.
Meanwhile, the country’s imports of heavy plates in August was limited to a mere 500 mt, against 13,600 mt in July, reflecting the suspension of imports of a special grade product, not produced in Brazil, by the pipeline producer Confab, linked to the Tenaris group.
An industry source told SteelOrbis that the suspension of imports of the special grade plates is due to the conclusion of the project that was being developed by Confab.
The imports of August originated chiefly from South Korea, at an average FOB price of $750/mt.
According to sources from the country’s steel institute IABR, the Brazilian steel industry is facing its worst historical crisis, losing international competitiveness due to high energy costs, heavy tax burden and high interest rates, among other domestic factors, coupled to an increased offer of low priced steel products in the international markets.