Brazilian flats steelmaker Usiminas is currently considering a 25 percent price increase for the flat steel products it sells to the local automotive industry, a company executive said during a quarterly conference.
Usiminas CEO Sergio Leite said the steelmaker is currently negotiating a price increase that may be effective in January 2018.
“Once a year we negotiate steel prices for the local automotive industry,” he said. “Negotiations take about 2 to 3 months, and they’re now going on with all automakers. Leite added that the company needs to “wait for the final negotiations.”
The executive didn’t specify which products, if all Usiminas sells for automakers, will be subject to the potential increase.
Usiminas said it expects domestic steel sales to remain stable in Q4 when compared to Q3, when it sold 882,000 mt of steel.