Brazilian merchant pig iron makers in both the
countrys north and southeast have closed export sales
transactions, sources told AMM sister publication
Producers in the
northern region of Carajás reportedly sold a
70,000-tonne cargo to a U.S. steelmaker at $409 per tonne
c.f.r. Port of New Orleans for shipment in September.
The f.o.b. level for
such deal would be around $395 per tonne, unchanged from the
previous sale in the region, which was closed with a Mexican
"But this was an
increase if you consider the previous sale to the USA, which
reached $395 to $400 per tonne c.f.r.," one source at a
Carajás pig iron producer said.
producers have been looking for prices of $415 per tonne c.f.r.
to the port, also for shipment in September.
"Weve received a
signaling of $413 per tonne c.f.r.. We might close a deal
(this) week," the source added.
There was a reported
sale of Russian pig iron to the United States at $412 per tonne
c.f.r. this past week, one U.S.-based trading source said.
In the southeastern
state of Minas Gerais, producers sold a 50,000-tonne cargo to a
trading company at $378 per tonne f.o.b., up $5 per tonne from
the previous transaction involving Minas Gerais material. That
deal had closed at $372 per tonne f.o.b., with 23,000 tonnes
expected to be shipped to a port on the U.S. East Coast.
The 50,000 tonnes sold
at $378 per tonne will be shipped at the end of September from
Rio de Janeiro, but the destination has yet to be declared,
"Ive heard about
two possible destinations: Italy or Asia," one Brazilian
trading source said.
A second U.S.-based
trader said the cargo will probably go to China.
For their next
negotiations, Minas Gerais producers will continue looking for
f.o.b. prices of $375 to $385 per tonne, sources said.
A version of this
article was first published by AMM sister publication Steel