Steel distributors in Sao Paulo are negotiating HRC for the domestic market in small volumes at BRL 4,080/mt ($1,056/mt) ex-works, a price stable from four weeks ago.
Such price refers to the 1008/1012 grades, 3.00mm thickness product, full taxes except IPI conditions. It is usually entitled to significant discounts in case of large volumes or direct acquisition from the producers.
In February, Brazil imported 11,000 mt of HRC from Venezuela at $584/mt, 600 mt from China at $647/mt, and 600mt from South Korea at $672/mt, all FOB conditions.
Analysts believe that the material declared as imported from Venezuela is actually from another origin, as the country is currently facing a shortage of steel products due to the collapse of local production.
The last offer of HRC received by Brazilian importers from China was priced at $535/mt, also stable for four weeks. Such price refers to CFR conditions to ports in the Brazilian south or southeastern coast, having the A36/Q235 grade product as reference.
USD = BRL 3.87 (March 7)
