Brazilian sales of flat steel products by local distributors declined 12.8 percent year-on-year in March to 254,200 mt, the country’s steel distributors association, Inda, said Tuesday.
Despite the year-on-year decline, Inda said distributor sales of flats in March increased 18 percent month-on-month from 215,500 mt in February.
Purchases of flat steel by local distributors in March dropped 1.5 percent, year-on-year, but improved 29.4 percent, month on month, to 287,400 mt.
Inventories at local flats distributors rose 3.6 percent month-on-month in March, reaching 951,500 mt. Inventory turnover in March declined to 3.7 months, from 4.3 months in February.
Imports of flat steel by local distributors in March grew 118 percent, year-on-year, and 85.3 percent, month-on-month, to 110,100 mt.
Inda said it expects both the purchases and sales of flat steel products to decline 8 percent month-on-month in April.
Investment bank Bradesco BBI said the Brazilian flats steel market is recovering, however, such a recovery should be “volatile.”