Pig iron prices in the international market look to come down further, though marginally, in the couple of weeks ahead. on account of limited buying activities in finished steel product.
Enough availability of raw materials with importers as well as poor off take in finished steel impacted Pig iron sales and prices – $375-385/MT FoB Black Sea in the previous week.
Offers are standing at less by 5 dollars to $370-385/MT FoB Black Sea in the third week of June and are expected to sustain at this level for rest of the month.
In July, some upward movement in Pig iron prices is anticipated and it might be quoted in the range of $380-400/MT FoB Black Sea due to lower supply of the material, supported by rise in offers of Scrap.
The month of August might see an addition of 10 dollars more to 390-410/MT FoB Black Sea.
Prices of Pig iron in international market:
Date Ukraine Brazil US Asia
June 14 380 380 392 390
June 07 383 392 403400
May 31 385 392 405 403
May 24 387 395 410 403
May 17 392 401 413 403
Prices: Brazil & Ukraine in FoB; US & Asia in CFR
W-o-W Change: Brazil = down by $12 and Ukraine = down by $3
US and Asia prices slipped by 11 and 10 dollars respectively
US: Pig iron exports from US slowed down as imported based in America are holding sufficient stock and flat products demand came down.
Most of Brazilian Pig iron suppliers are out of market and last sold the material at $380/MT FoB Ponta-de-Madeira.
Italy: Most of the steel making plants are running at 50-60% capacities in Italy and using Scrap, offers of which are on the downward trend.
Integrated steel mills are preferring Scrap and good quality DRI instead of Pig iron, looking at falling prices of Scrap.
Russian Pig iron was sold at $385-395/MT FoB Baltic Sea and deal with Ukrainian Pig iron suppliers was concluded at 3 to 5 dollars low at 380-385/MT FoB.
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