Sources tell SteelOrbis that negotiations for Brazilian slab exports to destinations other than the US are now being set at around $620/mt, FOB conditions, against previous expectations by exporters of around $740/mt, under the same conditions.
One deal was reportedly closed at $675/mt CFR conditions for a client in Asia, while negotiations with a client in Europe are expected to be closed at $620/mt FOB.
Earlier this week, a sale to a client in the US was reportedly closed at $685/mt, FOB conditions, also far from previous expectations by exporters in the $760/mt to $770/mt FOB range.
According to analysts, the low prices reflect reduced demand for shipments during January, while prices are expected to improve for shipments in February.
Preliminary numbers from customs confirm an increase in November from the 419,100 mt of slab exported from Brazil in October, while a cargo of 35,000 mt of slab arrived in Brazil during November.