Despite an export tax rebate in China being cut
only for heavy plate, hot-rolled coil and pre-painted across the flat steel space, the effect was spilling over through the whole value chain. Strong domestic steel demand in China was also boosting prices.
While clients in Brazil adopted a wait-and-see stance due to higher prices and mounting stocks, demand from the Pacific coast seemed to remain firm on concerns that offers could climb further.
“In some cases, you receive an offer and the next day it is already higher,” one Brazil-based trader said. “On the other hand, Chinese prices seemed to ease up by the end of the week.”
Fastmarkets assessed steel plate import, cfr main ports South America
at $1,000-1,080 per tonne on Friday, a $30-90 increase from $970-990 per tonne on May 7.
While all deals for China-origin material reportedly closed...