Ecuador’s insulated longs market appears poised to rise

Ecuador’s long product market has been fairly stable for the last three months; however, as billet prices in the region are going up, long products are expected to follow. Relative insulation from imports, lack of producers (there are three in the country) and high taxes have allowed Ecuador's longs prices to remain high in relation to other Latin American countries. Rebar in Ecuador is sold for US$910/mt plus delivery and taxes. However, demand is not very strong, despite the high prices. Nevertheless, the market is expected to start improving soon as inventories have returned to normal levels, and billet prices are on their way up again. Demand is also projected to show some slight improvements in the coming months due to the recent start-up of various high-rise construction projects in Quito and Guayaquil.