Sources told SteelOrbis that Brazilian slab exports to the US for shipments in August remain unsettled, and the first of such deals are expected to be closed in July.
US-based producers of HRC remain reluctant to close fresh deals due to uncertainties about the economy, as they are not able to evaluate the future demand and price for their product over the next months.
Brazilian slab producers are now focused on sales to plate mills in the US, as the demand and the future price of steel plate is reportedly more foreseeable than HRC’s. One Brazilian slab producer is reportedly focusing on clients in Italy, where the demand is increasing, and also in other European countries.
Prices for Brazilian slab for August shipment are estimated at less than last week’s producers target of $750/mt, FOB conditions. One such deal was recently closed for 140,000 mt in the Brazilian domestic market, at an equivalent FOB price of less than $750/mt.