While many were hopeful that last month's $50/mt drop in slab import offer prices to the US could translate into improved activity, the slab market remains quiet. In late June, import offer prices of slab from multiple sources fell substantially, but with demand only decent and slab in ample supply, re-rollers weren't rushing to place any major orders, and prices reported a month ago still stand. Mexican offer prices are between $530-$540/mt CFR and Brazil is offering slab to the US at approximately $530/mt CFR. For now, most slab buyers already have enough material available through September shipments.
According to SteelOrbis sources, because negotiations for Q4 slab shipments don't begin until about mid-August, it is difficult to determine whether or not slab prices will increase. Some are hopeful that two recent increases in US domestic flat rolled prices totaling $4.00 cwt. ($88/mt or $80/nt) in July could boost slab import offers as well. However, even the initial $2.00 cwt. ($44/mt or $40/nt) announced price increase has yet to be fully absorbed and there is widespread speculation that any increases in flat rolled spots now may be only temporary, which may result in little change in slab prices for Q4 shipments.