This week, global buying activity in the basic pig iron (BPI) market has remained mostly muted, in particular, due to the lingering uncertainty towards the future prospects in the steel industry. “All business seems to be at a standstill now. No fun to be a trader these times,” a major international trader stated. “It is apparently a holiday season for all. The market is fairly quiet,” another international trader said.
Nevertheless, the negotiations between a major Ukrainian BPI supplier and US customers, with a consequent booking to the region in question were the object of lively discussions in the market during the current week. However, by the end of week, all the information has been denied by a reliable source, with a supplier being apparently ready to consider sales at $520-525/mt CFR Port of New Orleans, though not active in any negotiations so far. Besides that, a deal for ex-Brazil BPI at $450/mt CFR Port of New Orleans has also failed to be confirmed. “There is no chance at this price. The workable level is at $450/mt FOB,” a Brazilian BPI seller stated. Taking into account the freight rate, the CFR price may be not lower than $485-490/mt CFR.
Meanwhile, offers for ex-Russia and ex-Donbass BPI in Turkey have remained unchanged compared to previous levels $460-465/mt CFR, while counter-bids have been voiced at $400/mt CFR and below.