On July 17, SteelOrbis reported Venezuelan HBI deal prices at approximately $255/mt CFR Southern Europe, $245/mt CFR Mexico, and $250/mt CFR US Southern port (Alabama) on approximately a $200/mt FOB Palua level. The price increased to $210/mt FOB early in August.
According to sources, ex-Venezuela HBI deal prices have increased $30/mt since the beginning of the month as are presently at $240-245/mt FOB to the EU. Given the discussions of US sanctions against Venezuela, sources report an unclear understanding of potential negative effects on imports from Venezuela. Therefore, no US deals are presently heard in the market.
Offers of Venezuelan HBI for export are approximately $260/mt FOB. With a $45-55/mt spread between FOB and CFR depending on destination, this offer price level translates to $310-315/mt CFR Southern Europe or US and $300-305/mt CFR Mexico. At the present trade level of $240-245/mt FOB to the EU, prices are approximately $290-300/mt CFR Southern Europe.