Brazilian exports of wire rod fetched 12,700 mt in July, 22 percent less than in June and the lowest volume since July 2013, according to the local ministry of development, industry and foreign trade MDIC.
The average export FOB price went up by 2 percent to $650/mt, a price that was considered by a trader in Rio de Janeiro as not representative of market conditions, reflecting sales by local producers Gerdau and ArcelorMittal to associated companies abroad.
In his view, $590/mt FOB would be the current price competitive in export markets.
The source confirmed that the producers have actually offered tonnages for exports by traders, as previously promised, but prices were not competitive.
The main destinations of the product in July were the US (8,000 mt), South America (2,700 mt) and Asia (2,000 mt).