A new steel price hike in Brazil is expected for either October or November, according to Credit Suisse analysts Caio Ribeiro and Gabriel Galvão.
As domestic steel demand improves, Brazilian steelmakers might increase flat steel prices by 15 percent, according to analyst estimates. Ribeiro and Galvão said the price hikes are likely due to increased raw material costs by local steelmakers as well as improved demand. Brazilian steel association, IABr, said this domestic steel sales rose 2 percent, year-over-year, to 1.7 million mt.
The analysts said the Brazilian flat steel sector is on a recovering trend due to improved activity at the civil construction sector.