Brazilian pig iron export market up further on US demand
The price for pig iron exports from Brazil went up again during the week to Friday December 11 on continued strong demand in the United States.
Fastmarkets assessed the price of pig iron, export, fob port of Vitoria/Rio, Brazil at $445-450 per tonne on Friday, up from $420 per tonne a week before.
A sale to the United States was heard at $465 per tonne cfr, while the fob-basis price was reported at $445-450 per tonne.
Several sources put offer prices from Brazil at $450 per tonne fob.
“The price will go up further,” one international trader predicted, noting that the rate for fob Black Sea material is close to $500 per tonne. The fob Black Sea route is the main shipping route for pig iron exports from the Commonwealth of Independent States - the main competitor of Brazilian slab exporters.
“Normally, fob-basis prices from the south of Brazil and [from the] Black Sea are more or less equal; that means that the export price from Brazil has room to grow,” that trader added.
Meanwhile, the price assessment for pig iron, export, fob Ponta da Madeira, Brazil was $457-467 per tonne on Friday, up from $442 per tonne a week earlier.
That assessment was up in line with further price growth in the United States - the key outlet for the main supplier from the north of Brazil.