A source linked to a Brazilian steel producer told SteelOrbis that slab export deals are being closed at prices around $410/mt, CFR conditions for ports in the US East coast, the same as last week, while exports to Europe remain traded CFR conditions in a range of $415/mt to $425/mt CFR.
The source mentioned that most players believe that the import tax on Brazilian steel products entering US ports will not be applied to slab, as the steel industry in the US has a deficit in the production of semi-finished items and depend on imported slab to feed their rolling activities.
In November, Brazil exported 480,100 mt of slab, against 562,700 mt in October. Preliminary figures of December already point to an increase from November, reflecting the high volume being exported to the US.
In November, ArcelorMittal exported 160,700 mt of slab to the US at $458/mt, and 10,900 mt to Canada at $362/mt; Ternium exported 148,700 mt to the US at $422/mt, and 16,500 mt to China at $311/mt; and Pecem exported 143,300 mt to the US at $410/mt, all FOB conditions, different quality grades and price deals probably closed in September.
