The price of rebars for export from Brazil remains negotiated in average at $590/mt, FOB conditions, having the CA-50 grade as reference.
Such price reference is stable since November 2017. Producers have expectations for lower energy tariffs, which could reduce production costs and improve operational margins at the country’s electric arc furnace (EAF) plants.
All exports in December were destined to South American countries, reflecting the lack of competitiveness of the Brazilian rebar exports which are presently limited to regions with favorable logistics.
In December, Brazil exported 34,400mt of rebars, 27 percent less than in November, at an average FOB price of $550/mt. Gerdau exported 21,500mt of rebars at $528/mt, ArcelorMittal exported 11,300mt at $586/mt and Votorantim exported 1,400mt at $570/mt, all FOB conditions, with price deals probably closed in October.