Brazilian producers are negotiating exports of wire rod of the mesh grade quality to the US East coast in a reference range of $575/mt to $590/mt CFR, against $580/mt to $595/mt CFR last week, a local market source told SteelOrbis.
The source mentioned that the reduction of price range derives from FOB quotations, as freight rates were stable. Most of the Brazilian wire rod exports to the US are of high-grade product, commanding a premium of up to $200/mt on the basic mesh grade product.
For exports to countries in South America, the range was stable at $600/mt to $615/mt CFR for the mesh grade product. Higher logistics costs, derived from road transportation to Uruguay, Argentina and Chile, are the reason for the higher prices.