Brazilian producers are negotiating rebar for export at $590/mt, FOB conditions, reflecting the same price level for three weeks, a local exporter told SteelOrbis.
The source said that he believes that the country’s rebar exports will decrease over the next months, as virtually all production costs are achieving all-time highs; electric energy and electrodes prices are reportedly reducing profitability at the local electric arc furnaces (EAF) plants.
“Our competitiveness is restricted to neighboring Latin American countries and to the US, where it is still possible to find transportation costs around $10/mt,” he said.
In October, ArcelorMittal exported rebars at $509/mt, Gerdau at $419/mt and Votorantim at $527/mt, all FOB conditions, with price deals probably closed in August.