A meeting among Vale and independent pig iron producers in the southeastern region of Brazil resulted in a defeat for the pig iron producers, a major producer told SteelOrbis.
According to the source, Vale did not accept a reduction from the current price of its small lumps, $40.50/mt, ex-mine, no taxes included, the main ore consumed by the pig iron sector.
“I would not say that it was a complete defeat, as Vale actually wanted to increase the price”, the source said, adding that more pig iron producers will either stop operations or move to lower quality small lumps, currently sold by small miners at $28.50/mt under the same conditions.
The source mentioned that another meeting among pig iron producers and Vale is set for the second week of December.