Brazil’s flats producer Usiminas exported 13,600 mt of CRC from its Cubatao plant in October, against 600 mt in September, according to the local ministry of development, industry and foreign trade, MDIC.
The increase is in line with the company policy to suspend crude steel production at the Cubatao plant in Sao Paulo, maintaining its rolling operations, except for heavy plates, while focusing its sales in the export markets, while the company’s other plant, Ipatinga, will serve preferentially the domestic market.
The exports by Cubatao in October were priced in average at $462/mt, FOB conditions, 9.2 percent less than in September, and were almost entirely destined to the US, while the Ipatinga plant shipped smaller tonnages to Argentina and Venezuela at $580/mt and $787/mt, respectively, both FOB conditions.
Total exports of CRC from Brazil reached 29,700 mt in October, with CSN shipping 14,000 mt to the US at $474/mt FOB, a volume reduced by 31 percent from September, at an FOB price slightly reduced to $474/mt.
Meanwhile, Brazil imported in October 7,000 mt of CRC from China at $483/mt and 4,300 mt from South Korea at $662/mt, all FOB conditions.
A medium sized distributor in Rio de Janeiro told SteelOrbis that he is selling CRC in the domestic market at BRL2,700/mt ($717/mt) FOB full taxes except IPI, the same price in BRL since January, adding that such price is set to increase by 9 percent over the next few weeks.
USD = BRL 3.77 (November 12)