The ex-Brazilian BPI index is stabilizing at the level already achieved, a further upward trend is doubtful

Brazilian base pig iron (BPI) prices have now reached their ceiling as, despite sellers clearing all May and part of June inventory, demand has weakened and buyers are resisting any further price increases.

SteelOrbis reference price for Brazil BPI 0.15 percent phosphorus remained stable throughout the week at $455-460/t FOB. “The last deal was $460/t FOB, and even this level seems high to buyers,” said a source from Brazil. As reported last week, at the specified price one contract was concluded for a smaller volume - 30 thousand tons. Some suppliers this week announced offers for this material at a price of $465/t FOB, but this level was assessed as too high. “How could the market accept a BPI price of around $465/t FOB when Chinese mills are selling billets at the same level,” a trade source commented.   The only deal reported recently was the former Brazil BPI at 0.10 percent phosphorus at $465/t FOB. The materials will be shipped from the north or Brazil and are typically priced US$5 to US$10 per ton higher than the 0.15 percent phosphorus material. Freight from Northern Brazil to New Orleans is estimated at $22-25/t versus $20/t seen before the war in the Middle East. “There is no material before mid-June,” a Brazilian source said regarding keeping prices at current levels.   "Over the last 10-14 days, prices for reinforced concrete PI have jumped by $10-15 per tonne. This should be the end," said a source in Europe.   SteelOrbis reference price for US imported BPI also remains stable at $480-490/t CFR.