Sources told SteelOrbis that negotiations for Brazilian slab exports for shipments in September remain unsettled due to differences in expectations by both sides, in relation to demand and prices.
In Europe, the demand for HRC was reduced, with confirmed decisions to halt rolling operations at some plants, with a significant impact on demand in the merchant slab market. There are reports of at least one steel producer reducing rolling activities and selling slab in the spot market.
In the US, fears of recession and reduced demand for slab to produce HRC remain negatively affecting slab prices, while the demand from producers of heavy plates remains relatively stable
Nonetheless, slab exporters believe that until the end of July the first deals for shipments in September will have to be closed, due to timing constraints, while the declining prices are expected to recover during the period.
For the exporters, offers remain at $750/mt to the US and $700/mt for non-US destinations, FOB conditions.
Preliminary figures are pointing to a reduced volume of slabs being exported from Brazil in July, in relation to the 512,700 mt exported in June.