Brazilian slab exporters remain negotiating deals in average at $495/mt, FOB conditions for basic commercial grades, stable from last week.
Sources mentioned that such reference price could be reduced in the short term, if plans to increase import tax for steel products in the US to 50 percent are maintained, with effectiveness announced for June 4, even though US courts are questioning the legitimacy of such import tariffs.
A source linked to a Brazilian slab exporter mentioned that even if the 50 percent tariff is maintained, the negative impact on the FOB price of the Brazilian slab would be limited to $30 mt, based on the impact of the 25 percent tariff imposed in March.
Preliminary indications for May remain pointing to a volume of slabs exports from Brazil in line with the 429,600 mt exported in April.