Brazil exported 27,200 mt of hot dip galvanized products (HDG) in May, against 51,600 mt in April, according to the local ministry of development, industry and foreign trade, MDIC.
The average FOB price increased by 5.9 percent to $587/mt, pointing to CSN and Usiminas exporting the product at $585/mt, while ArcelorMittal exported at $604/mt, all FOB conditions, at price deals probably closed in March.
The US (16,500 mt at $533/mt FOB) and Argentina (9,900 mt at $675/mt FOB) were the main destinations, while small tonnages were shipped to other countries in South America.
A major exporter told SteelOrbis that he is still selling the G40 grade, 4.75mm (3/16”) thickness product at $700/mt, FOB, the same price over one month, despite having already increased the price of the product in the domestic market by 10 percent. A decision on the new export price is expected soon.
He mentioned that there is a shortage of the product due to the reduced production of crude steel in the country, so the preference is to serve the domestic market where prices are more rewarding.