Brazilian slab producers are negotiating exports to the US at $590/mt, FOB conditions for the product of the basic commercial grades, a local exporter told SteelOrbis. The reference price compares with $570/mt last week, the source said, adding that there are perspectives for higher prices.
The source mentioned that for exports to Europe, the reference price remains at $540/mt, under the same conditions.
Different reference prices reflect chiefly the fact that the Brazilian slab is among the few exclusions from the US’ 25 percent import tax, although subject to a quota limited to 80 percent of the volume exported by Brazil to the US in 2017.
In April, Ternium Brazil exported slab at $544/mt, Pecem at $524/mt, and Tubarao at $537/mt, with FOB price deals probably closed in February 2018.
The main destinations of Brazilian slab exports in April were the US (197,400 mt), the EU (160,100 mt), Mexico (48,600 mt), Turkey (40,400 mt) and Canada (39,800 mt).