Brazilian producers are negotiating slab for sales to Asian countries in a price range of $510/mt to $515/mt CFR, against $490/mt to $495/mt CFR last week, while freight rates to the region are stable in a range of $40/mt to $45/mt.
Prices have also increased for exports to Europe, with a price range for negotiations at $490/mt to $495/mt CFR, against $475/mt to $480/mt CFR last week and freight rates stable at $20/mt to $25/mt.
For exports to the US, negotiations have resumed with a reference price of $470/mt FOB, while freight rates are estimated at $17/mt for ports in the East coast and $22/mt for the West coast.
Sources tell SteelOrbis that the increased prices reveal a surge in worldwide demand for slab that could not be immediately met by the current availability of the product, estimated at 17.3 million mt per year.
Sources also mention that Brazilian slab producers have no material available for immediate exports, having their portfolio of orders already completed for 2020, adding that the scenario could be changed from October with the restart of the blast furnace number 3 at ArcelorMittal Tubarao.