A trader in a northeastern state of Brazil told SteelOrbis that he has not closed fresh deals to import CRC over the last few weeks, as prices remain uncertain from different origins. He mentioned prices are lower in China than in CIS, but buyers cannot be sure of how much tax will be paid when the product is shipped from China.
“We are even receiving proposals of CRC at prices lower than HRC prices,” the source said, adding that in May he has received a shipment 7,300 mt of CRC at $674/mt, FOB conditions, from a deal closed with a Chinese supplier in March.
In May, Brazil exported 2,500 mt of CRC, while importing 45,300 mt of the product, against 3,300 mt and 11,800 mt, respectively, in April.
The exports were almost entirely destined to South American countries (2,400 mt at $846/mt), exported by Usiminas (1,400 mt at $792/mt), ArcelorMittal (700 mt at $747/mt) and by traders (300 mt at $1,302/mt), all FOB conditions.
The imports came chiefly from China (40,700 mt at $705/mt), Sweden (2,200 mt at $888/mt) and South Korea (1,900 mt at $722/mt), also FOB conditions.
In the Brazilian domestic market, CRC of the basic commercial grades remains offered in medium to large volumes by the producers at BRL 8,130/mt ($1,584/mt), stable from two weeks ago, ex-works, no taxes included.
USD = BRL 5.13 (June 11)