Brazilian producers are reportedly negotiating wire rod of the mesh grade for export to Latin American countries in a price range of $550/mt to $560/mt, against $550/mt to $570/mt last week, both FOB conditions, local market sources told SteelOrbis.
The decline of the higher end of the price range reflects continued reduced demand from the industrial sector in South American countries, the source added.
In March, Brazil exported 9,700 mt of wire rod, against 33,500 mt in February, a reduction reflecting no exports to the US in March, against 15,000 mt in February. ArcelorMittal exported 8,800 mt at $647/mt, while Gerdau exported 800 mt at $566/mt, both FOB conditions with price deals probably closed in January.
The destinations in March were Asia (6,400 mt at $618/mt), South America (2,000 mt at $598/mt) and Canada (1,300 mt at $811/mt). The export to Canada consists of a high grade product of ArcelorMittal, destined to produce steel cord to serve the pneumatic tire industry.