After indications that it could increase HRC prices by 6 percent, effective April 1, the Brazilian flats producer Usiminas has actually increased its price by 6.5 percent on March 28 and will increase it by an additional 6 percent on April 4, a source from a major distributor in Rio de Janeiro told SteelOrbis.
With such aggregate increase of 12.5 percent, the Brazilian HRC of the basic commercial grades will be sold to local customers from April 4 at BRL 2,845/mt ($798/mt), FOB conditions, full taxes except IPI, roughly equivalent to $598/mt, FOB conditions no taxes included.
The source mentioned that this time Usiminas ascribes the increase not only to the evolution of the international prices, but also to the local yearly inflation, estimated at more than 10 percent over the last 12 months.
1 USD = BRL 3.59 (March 31)