South American steel import prices widen as Brazil sees lower offers than Pacific coast

Steel import prices in South America were mixed over the past week, with some suppliers taking advantage of lower availability to present more expensive offers, while China-origin material was offered at lower levels, source told Fastmarkets.

Market participants noted an unusual scenario of flat-rolled steel being offered to Brazil at lower levels than South American Pacific countries. Chinese steel, in particular, is often more expensive for Brazilian clients due to higher freight rates to the Atlantic coast of the continent.
“Coupled with an unidentifiable trend in freight dynamics, imported steel was cheaper for Brazil because participants are actively bargain-hunting,” one Brazil-based trader said.
Volatile foreign exchange rates in Brazil were forcing participants to be more aggressive on negotiations.

Fastmarkets’ latest price assessment for steel hot-rolled coil import, cfr main ports South America, was $500-530...

Published

Renato Rostás

March 13, 2020

20:01 GMT

São Paulo