A Brazilian exporter told SteelOrbis that $608/mt, FOB conditions, remains as the base price for the export of wire rod of the mesh grade, while $627/mt is still the reference price for the drawing grade product—both are unchanged in the last week.
A second source, also a local exporter, said that he has received from a client abroad an offer to export the mesh grade product at $590/mt, FOB conditions, but a deal was not reached so far, as $600/mt is the minimum price he could accept.
“We have better alternatives instead of exporting wire rod at $590/mt,” he said, but conceded that the Brazilian steel industry remains dependent on exports to justify operations, due to the reduced demand from the local consumers.
In June, the local arm of ArcelorMittal exported 24,400 mt of wire rod in average at $567/mt FOB, while Gerdau exported 12,000 mt of the product at $518/mt FOB, with price deals probably closed in April. The main destinations were the US, South America and the Caribbean.