According to sources, Brazilian slab production is currently reduced at ArcelorMittal’s Tubarão plant and Usiminas’s Ipatinga plant, resulting in a reduced volume available for exports, chiefly those with shipments scheduled for September.
Ipatinga has its blast furnace number 2 idled for repairs and is now scheduled to restart at the end of October 2022, while its blast furnace number 3 is set to stop for maintenance in April 2023.
With the consequent shortage of slab, other slab producers, chiefly Pecem, are maintaining focus on serving the domestic market.
In the meantime, the slab exporters are maintaining their “wait-and-see” strategy, with offers around $750/mt to the US and $700/mt to non-US clients, FOB conditions, although such prices are considered now as inflated by at least $40/mt in relation to acceptable prices by their clients.
Nonetheless, a source linked to a slab exporter mentioned that more recently they are receiving request of offers from Europe, chiefly from Italy and Turkey.