On September 8, SteelOrbis reported ex-Brazil basic steelmaking pig iron offers to the US trending up on new deals with offers at $390-400/mt CFR US port. From the southern region, basic pig iron offers were reportedly at $360-365/mt FOB Southern Brazil port and $380-385/mt FOB from Northern Brazil.
As of late September, a source has informed SteelOrbis of a recent deal for basic pig iron at $380/mt CFR US port from Northern Brazil. The price has declined by $10/mt in CFR terms and $15-20/mt in FOB terms from a deal reported by SteelOrbis on September 1. The FOB price is estimated at $360-365/mt FOB from Northern Brazil, a higher spread than the usual $10/mt due to higher recent freight costs.
Brazilian basic pig iron is now on offer at $350-355/mt FOB from the Southern Brazil region, down $10/mt from the level that was predominant offered in September since early in the month. Offers from the Northern region are reportedly at $370-375/mt FOB, also down $10/mt from earlier in the month. The present offers from both regions translate to approximately $380-385/mt CFR US port, down $10-15/mt in CFR terms compared to earlier in the month.
A source stated, “While a downward trend is logical given the recent global moves, the high price of electrodes, wide recent spread between shredded and prime scrap grades, and tight supply from Brazil might have allowed Brazil pig iron to trend down gently.”