CIS producers’ pig iron export offers still rising

Monday, 12 December 2011 17:14:59 (GMT+3)   |  
In the Turkish domestic pig iron market, local producer Kardemir has kept its prices unchanged since November 24. Accordingly, Kardemir's price of H1 pig iron still stands at $540/mt plus VAT, its H2 price is at $530/mt plus VAT, while its price of C1 pig iron stands at $505/mt plus VAT, and its price for C2 pig iron is at $495/mt plus VAT.
 
This week, Ukrainian pig iron offers to the Turkish market have increased to $460-465/mt CFR, while Russian pig iron offers to Turkey have reached $470-475/mt CFR, both for late January shipments. Both offers have risen by another $10/mt as compared to last week, after increasing by $10/mt last week. Pig iron sales in large tonnages to Far Eastern and Italian markets in recent weeks have contributed to this price increase.
 
On the other hand, although Turkish pig iron buyers prefer to supply their needs from the spot market, material availability in traders' stocks is low, since the CIS pig iron producers have been working with reduced capacity usage for some time. In the meantime, ahead of the New Year, it is reported that some major Turkish steelmakers have opened tenders to purchase pig iron in large tonnages.
 
Coming towards the end of the year, flat steel demand in the US has indicated some strengthening, also causing pig iron sales to this country to increase. In the meantime, Brazilian pig iron producers are working with reduced capacity usage. SteelOrbis has learned that pig iron offers from northern Brazil to the US are standing at $460-465/mt CFR.

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