A source told SteelOrbis that Sinobras, a steelmaker located in the Brazil’s northern region, has announced a price increase at the rebar it sells domestically.
According to this source, Sinobras’ board of directors decided to increase domestic rebar prices on February 15 by 3 percent. Another 3 percent hike in the product’s price is expected to the end of the month.
“We’ll have two price adjustments in just one month,” a Sinobras source said.
“The price hikes were already announced to our clients. Will prices really sustain? That’s a difficult question,” the source commented.
Sinobras is selling its CA-50, 10mm rebar at BRL 2,320/mt ($595/mt) CIF, no taxes included, down from BRL 2,460/mt ($631/mt), same conditions, in November last year.
“A lot of clients say CSN is selling cheaper rebar,” the Sinobras source said.
CSN is reportedly to be selling the same CA-50, 10mm thick rebar domestically at BRL 2,200/mt ($564/mt) CIF, no taxes included.
The Sinobras source said it was able to secure some specific deals last week. It sold “small quantities” of 12.5mm thickness rebar for BRL 2,150/mt ($551/mt) CIF, no taxes included, for cash-only payments. 10mm thickness rebar was sold by BRL 2,200/mt ($564/mt) CIF for cash payments.
As reported last week, distributor prices for CA-50, 10mm rebar are currently between BRL 3,283/mt ($841/mt) and BRL 3,557/mt ($912/mt), CFR, full taxes conditions.
1 USD = BRL 3.90 (February 8)