The reference price for Brazilian hot dipped galvanized (HDG) exports is now around $700/mt, compared to $780/mt over the last weeks, FOB conditions, having the G40 grade and 4.75mm thickness product as reference.
Sources tell SteelOrbis that a sudden reduction in demand, linked to the Covid-19 pandemic, is the main driver for the decline, resulting in additional material available for export.
According to the local steel distributors institute, the drop in domestic demand for most steel products is around 50 percent in the short term.
Brazilian HDG export shipments in March are expected to increase from the 3,200mmt of February, due to weather related postponement of shipments from February to March.