Uptrend difficult in ex-Brazil BPI market as US buyers accept only limited hikes

Tuesday, 22 August 2023 16:09:47 (GMT+3)   |   Istanbul
       

Though the overall situation in the ex-Brazil basic pig iron (BPI) market is better than a month ago, buyers in the US have been refusing to accept much higher prices. As a result, only a $10/mt increase has been confirmed in the latest deal from Brazil to the US, though suppliers have been targeting higher increases.

Another deal for ex-Brazil BPI with 0.15 percent phosphorus has been signed to one of the major mills at $410/mt FOB, translating to around $435/mt CFR New Orleans. Though last week there was confirmation of a contract at $445/mt CFR to another US mill, this week a number of market sources said that the material was from the north of Brazil with a lower phosphorus content of 0.10 percent.

The deal price level for 0.15 percent phosphorus BPI was at $400-406/mt FOB in the last round of sales in July. This means that the Brazilian suppliers have achieved some increase, but not as big as expected. “They are trying to increase the price as they are under hardship, but it is difficult to do with only one market that can take their material,” a trader said.

Some offers for 0.15 percent phosphorus BPI from Brazil are still higher, at $415-420/mt FOB and up to $430/mt FOB for 0.10 phosphorus BPI. However, the suppliers are cautious as they are waiting for scrap price settlements in the US and a clearer trend in Turkey.

The SteelOrbis reference price for import BPI in the US has been settled at $435-450/mt CFR, versus $440-455/mt CFR last week. Ex-Brazil 0.15 percent phosphorus pig iron prices have been at $410/mt FOB, against $410-415/mt FOB last week.


Similar articles

Ukraine sees 21.9 percent rise in pig iron output in January-October

12 Nov | Steel News

Turkey’s Kardemir reports lower net loss and sales revenues for Jan-Sept

11 Nov | Steel News

Ex-Russia BPI prices seek new low as suppliers target alternative markets like India

08 Nov | Scrap & Raw Materials

Brazilian pig iron exports increase in October

07 Nov | Steel News

ArcelorMittal's sales revenue falls in Jan-Sept amid lower prices

07 Nov | Steel News

Ex-Brazil high-phosphorus BPI prices roll back in new contracts, low-phosphorus BPI stays high

05 Nov | Scrap & Raw Materials

Ukraine’s Zaporizhstal reports higher outputs for January-October

05 Nov | Steel News

US customers accept rise in BPI prices in new deals after weeks of resistance

25 Oct | Scrap & Raw Materials

Ex-Russia BPI price slides further amid lower bids and deals in major markets

25 Oct | Scrap & Raw Materials

Russia’s MMK reports lower steel output and sales for Q3

24 Oct | Steel News