Prices for imported basic pig iron (BPI) in the US have remained stable at the level of previous deals as even though suppliers have been expecting some bigger hikes, the market is still controlled by the buyers, who are not ready to pay more. Shredded and P&S scrap prices in the local market in the US are expected to move sideways in September, while BPI offer volumes have remained decent, which prevailed any further price increases.
A contract for around 20,000 mt of ex-Ukraine BPI has been heard at $445/mt CFR to the US recently with a few sources confirmed it. “That is the same price that Brazilian Ph.10 [0.10 percent Phosphorus content] recently sold for,” a source from the US said. The material has already been stored at barges in one of the US ports. “Part of that vessel was sold around a month ago,” a trader said, adding that it is possible that the rest of the cargo has been traded recently.
Though official offers for low-phosphorus (0.10 percent) BPI from Brazil have been at $450-455/mt CFR, some sources claim that it is possible to get $445/mt CFR, taking into account buyers’ resistance to any further increase. This level translates to around $420/mt FOB.
There have been no new reports about new deals for higher phosphorus BPI from Brazil after a contract signed at slightly below $410/mt FOB or up to $435/mt CFR to the US, as reported earlier this week.