According to market sources close to SteelOrbis, Mexican domestic hot rolled coil (HRC) this week is ranging at 11700-12000/mt pesos ($637-654/mt or $578-593/nt) ex-mill.
“The high volatility and depreciation that the peso has encountered against the dollar in 2016 has had big effect on the export and import market with Mexico. One has to pay close attention to the exchange rate,” according to an executive at a service center with facilities in the US and Mexico.
Several sources commented that in recent history Mexico HRC has generally encountered pricing in tandem with the US while staying approximately $11-33/mt or $10-$30/nt under the US pricing. HRC is approximately $650-672/mt or $590-610/nt ex-US Midwest mill at the moment.
$1 USD = 18.36 MXN pesos, 8/25/2016