HRC exports by Brazilian producers increased from June by 28 percent to 236,600 mt, at an average FOB price four percent lower, $414/mt, according to the country’s ministry of development, industry and foreign trade, MDIC.
The main exporters were ArcelorMittal Tubarao (123,700 mt at $358/mt), Usiminas (74,600 mt at $516/mt), CSN (36,000 mt at $398/mt) and Gerdau Acominas (2,000 mt at $399/mt), all FOB conditions.
A source from a major exporter told SteelOrbis that all HRC producers, like most steel producers in the country, are searching for alternative markets to compensate for the dramatic downturn in the local economy.
The main destinations in July were the US (84,600 mt), the EU (56,800 mt), Latin America (54,300 mt) and Asia (40,800 mt).
A local distributor told SteelOrbis that the domestic price is showing resilience despite the reduced demand, BRL2,230/mt ($641/mt) for the basic commercial grades, FOB full taxes except IPI, the same in BRL since February.
Such high domestic price remains fueling imports of the product, which reached 28,100 mt in July, 26 percent more than in June, at an average FOB price reduced by 2.2 percent to $455/mt.
The main origins of such imports were Russia (12,500 mt at $403/mt) and Asia (9,200 mt at $525/mt), both FOB conditions.
1 US$ = BRL 3.51 (August 13)