Chinese steel products went from being the most competitive to the most expensive sold to South America through most of the period from April onward, during which the effects of the Covid-19 pandemic were strong in the continent, because of the quick recovery of the domestic market in China.
But with Chinese demand growth slowing down, new export offers began to be presented at lower levels than those from other sources. Mills from other countries were affected by lower availability, prompting swifter price increases to the export markets.
“Brazilian steelmakers are enjoying good demand, and are doing their best to secure most deals domestically,” a US-based trader source said.
“China went back to being the most competitive source of imported steel in South America,” a...