A source linked to a Brazilian producer told SteelOrbis that the reference price for the export of hot dipped galvanized products (HDG) to the US is $840/mt, CFR conditions for ports in the US East coast, having the G40 grade and 4.75mm thickness product as reference, stable from two weeks ago. For shipments to Europe, the price is also stable at $850/mt, under the same conditions.
In the Brazilian domestic market, HDG is sold today by distributors, in small volumes, at BRL 4,786/mt ($1,176/mt), against BRL 4,802/mt two weeks ago, ex-works, full taxes except IPI, having the Z-100, 1.11mm thickness product as reference. Larger volumes or direct sales by steel producers are usually entitled to discounts.
The last offer of HDG received by a Brazilian importer from China was priced at $715/mt, against $705/mt two weeks, CFR conditions to a port in the south or southeast coast of Brazil, with the Z100/SGCC grade as reference.
In December, Brazil exported 28,400 mt of HDG and imported 15,300 mt of the product, comparable with 10,100 mt exported and 13,600 mt imported in November.
The US was the main destination of the exports (24,200 mt at $735/mt), while the balance of 4,200 mt was shipped to South American countries at $929/mt in average, both FOB conditions, different quality grades and price deals probably closed in October.
The main origins of the HDG imports were China (6,000 mt at $697/mt), Colombia (5,000 mt at $646/mt) and South Korea (3,200 mt at $860/mt), while small volumes were imported from France, the US, Hungary, Portugal and Taiwan, all FOB conditions and different quality grades.
USD = BRL 4.07 (January 9)