Prices for ex-Brazil basic pig iron (BPI) with high phosphorus content of 0.15 percent have remained stable in the last deal to a major US mill. However, a deal for BPI with low phosphorus content has been done at slightly lower than initial offers, narrowing the gap between two grades from $20/mt to $10-15/mt.
A contract for 50,000 mt of Brazilian BPI with 0.15 percent phosphorus content has been signed at $430/mt FOB, in line with the previous four to five bookings for this grade. Some sources believe that the shipment is for June, but some said May. The stable prices agreed before the end of the month were due to the relatively stable expectations for the local scrap market in the US for April, according to market sources.
Also, there has been information about BPI with 0.10 percent phosphorus content from northern Brazil being traded at $440/mt FOB for late April-early May shipment. The information has not been finally confirmed by the time of publication, with some traders hearing the price of $445/mt FOB. Nevertheless, sources agree that the gap between two grades is now reduced. “For low phosphorus [BPI] $470/mt CFR [to the US, which translates to $440/mt FOB] should be right at the moment,” a source said. The SteelOrbis reference price for imported BPI has narrowed from $460-480/mt CFR to $460-470/mt CFR.