Prices for Mexican domestic hollow structural sections (HSS), referenced ASTM-A500, plunged US$30/mt in the last week, to settle at US$947/mt ex-mill. Although sources were optimistic two weeks ago about demand prospects related to the government-funded infrastructure announcements recently, a lack of actual purchasing activity deflated the price bubble.
As for demand from private investments, figures released Wednesday by the National Institute of Statistics and Geography (INEGI) showed that investments by Mexican companies fell 1.31 percent in April compared to March, reflecting two consecutive months of setbacks. Many in the HSS sector are hoping government investment will pick up the slack, but while plans have been announced, funds have not yet materialized.