Brazilian producers are negotiating wire rod of the mesh grade for export at $610/mt, FOB conditions, the same price for two weeks, a local exporter told SteelOrbis.
A second source, from a local trader, mentioned that exports of long products are currently made directly by steel producers, without the participation of traders, adding that when such exports are destined to the Americas, they are chiefly sold to associated companies, with prices not necessarily linked to market conditions.
The source confirmed that there is a significant price premium, in FOB terms, when the product is exported to the US, as Brazil is one of the few countries currently exempted from the 25 percent import tax on steel imports imposed by US authorities.
In April, the main destinations of the Brazilian wire rod were the US (19,000 mt), South America (10,900 mt), Asia (900 mt) and Central America (700 mt), while the main exporters were ArcelorMittal (21,000 mt) and Gerdau (9,700 mt).