Brazilian flats steelmaker Usiminas expects benefits in Q4 from the resumed blast furnace at its Ipatinga mill, in the city of same name in the state of Minas Gerais, the company said this week in a conference call with analysts.
Usiminas CEO Sergio Leite said the operating equipment will help the company produce 2,000 mt/day more pig iron. It will also help local pig iron production to grow 20 percent this year at the Ipatinga mill.
Leite said the company does not expect to resume primary activities at its Cubatao mill in Sao Paulo state for the next three years.
“This is a very important topic for us. But today there’s no perspective of us resuming primary areas of Cubatao for the next three years,” he said.
Commenting on the slab market, Leite said there are currently three key markets offering the product: Brazil, with prices of about $600/mt, Russia ($570-550/mt) and Iran ($550-540/mt). Leite said Brazil’s ongoing negotiations with the US over the 232 Section have helped Brazilian made slabs in the export market to remain in the $600/mt level. He said the outlook for slab prices in the export market heads towards a decline in the short-term.