A source from a Brazilian producer told SteelOrbis that the reference price for the export of hot dipped galvanized products (HDG) to the US is currently $960/mt, FOB conditions, having the G40 grade and 4.75mm thickness product as reference. The reference price is stable over the last four weeks.
A second source mentioned HDG exports to other destinations being negotiated in average at $800/mt, also FOB conditions.
In December, Usiminas exported 3,600 mt of HDG, in average at $942/mt, while CSN exported 1,800 mt at $1,008/mt, both FOB conditions and price deals probably closed in October.
In the Brazilian domestic market, HDG is sold today by distributors, in small volumes, at BRL 5,250/mt ($1,423/mt), ex-works, full taxes except IPI, having the Z-100, 1.11mm thickness product as reference, stable in BRL over the last four weeks. Larger volumes or direct sales by steel producers are usually entitled to discounts.
In December, Brazil imported 31,000 mt of HDG from China at $744/mt, 3,700 mt from the EU at $1,018/mt, 1,700 mt from other Asian countries at $890/mt, and 300 mt from Canada at $1,093/mt, all FOB conditions.
The last offer of HDG received by a Brazilian importer from China was priced at $700/mt, CFR conditions to a port in the south or southeast coast of Brazil, with the Z100/SGCC grade as reference, the same price over the last four weeks.
USD = BRL 3.69 (January 10)