Mexican domestic hot rolled coil (HRC) prices fell US$7/mt in the last two weeks to settle at US$740/mt ex-mill.
According to sources, prices have shown another decline not only due to falling costs of raw materials such as iron ore, but also the oversupply in the market and an increase in Chinese imports.
However, the automotive industry remains a bright spot for demand, supported by several free trade agreements, a qualified and cheap labor forcé, the proximity to the US auto market, and the continual attraction for investment from foreign carmakers like Audi and Honda Motor Co.