On July 27, SteelOrbis reported CIS region offers for basic steelmaking pig iron to the US at $360-380/mt CFR US port. On July 25, SteelOrbis reported low-manganese or foundry grade pig iron at $390-415/mt CFR US port. One Russian mill pushed the upward range of the low-manganese offers on bullish expectations, according to sources.
Demand for CIS pig iron from some regions in Europe is reportedly slow due to holiday schedules while US mills are seeking market information from the August scrap buy-cycle. As such, offers have remained relatively stable with slight adjustments downward from previously high, outlier offers.
Ex-CIS basic steelmaking pig iron is presently heard offered at $350-360/mt FOB or $360-375/mt CFR US port while low-manganese or foundry grade pig iron is heard at $375-400/mt FOB Baltic Sea or approximately $385-410/mt CFR US port. These offers represent a slight decline of $5/mt from the top of the basic pig iron range and a shift downward of $5/mt for the low-manganese pig iron range.
A source noted that prices on iron ore, coking coal and scrap are up, but that US pig iron buyers are waiting on more market information not only for August and September scrap prices, but also demand potential for finished steel for the remainder of the year “given all the policy discussions that remain up in the air.”