Brazil exported 41,300 mt of wire rod in October, 14 percent less than in August, according to the country’s ministry of development, industry and foreign trade, MDIC.
The decline reflects exports by ArcelorMittal reduced by 48 percent to 11,600 mt, while exports by Gerdau increased by 16.7 percent to 29,700 mt.
The average FOB export price of $416/mt points to the mesh grade product exported at $362/mt, down 4.5 percent, while the drawing grade product was exported at $454/mt, down 13.5 percent.
A source from a major producer told SteelOrbis that he is selling in the domestic market the mesh grade product at BRL2,889/mt ($761/mt) and the drawing grade product at BRL3,230/mt ($851/mt), CFR, full taxes conditions, the same price in BRL since July 2015.
He added that the demand from traditional civil construction sectors like housing remains bleak, but other branches of civil construction, such as towers for energy transmission, ports and road construction are supporting sales of long steel products in general.
USD = BRL 3.80 (November 9)