The Brazilian producers are negotiating HRC exports with their South American clients in a reference price of $760/mt, stable from two weeks ago, FOB conditions for the basic commercial grades.
In the Brazilian domestic market, HRC of the basic commercial grades is sold by producers, in medium to large volumes, at BRL 4,850/mt ($900/mt) against BRL 5,000/mt two weeks ago, ex-works, full taxes except IPI.
In July, Brazil exported 11,200 mt and imported 68,600 mt of HRC, comparable respectively to 4,900 mt and 114,000 mt in June.
The exports of July were destined to South American countries (9,400 mt at $536/mt) and the US (1,800 mt at $588/mt), shipped by ArcelorMittal (9,100 mt) and Usiminas (2,100 mt), FOB conditions.
The imports were from South Korea (39,600 mt at $557/mt), Egypt (20,300 mt at $550/mt), and China (8,500 mt at $589/mt), also FOB conditions, while smaller volumes were imported from Austria and Mexico.
The domestic market continues to experience historically low prices, accompanied by decreased demand both locally and internationally. These factors indicate a potential for further price reductions in the upcoming weeks.
USD = BRL 5.39 (August 12)