Brazil-based slab producer Companhia Siderurgica do Pecem (CSP), a joint venture (JV) between Brazilian miner Vale and South Korean steel producers POSCO and Dongkuk Steel, has announced weaker operational and financial results for the third quarter this year due to the sharp price decrease in the international market.
Production of slabs lost 4.2 percent quarter on quarter, coming to 679,000 mt due to maintenance in July. Sales lost 2.7 percent quarter on quarter to 696,000 mt in the third quarter. Operational losses of CSP totaled KRW 19.8 billion ($17 million) in Q3, according to the report of Dongkuk Steel, one of the owners of CSP, while in the second quarter the producer managed to achieve a profit.
Production of slabs at CSP is still expected at about 2.9 million mt for the current year, while its financial results may increase due to the rebound in the slab market which started in November.