Steel market in Brazil will be stable until the first quarter of 2021

Brazilian steel company CSN reported strong results, including 27% growth in steel sales in the third quarter of this year compared to the same period last year.

Therefore, CSN expects that the imbalance between supply and demand for steel in Brazil will continue until the end of the first quarter of 2021. Taking advantage of this situation, CSN is planning a new price adjustment in November.

Luis Fernando Martinez, Commercial Director of CSN, commented that currently domestic hot and cold rolled steel is 5-6% lower than imported steel, which allows for continued growth. In November, the company will grow by 10% for flat products and 7.5% for galvanized products; Meanwhile, in November it will grow by 10% for long products.

CSN President Benjamin Steinbruch said his company depleted all of its steel reserves in the third quarter, including emergency steel, even though it was operating at full capacity.

After blast furnace 2 at the Volta Redonda plant in Rio de Janeiro is fully operational in November, he said the issue of supply and demand for steel should balance in the fourth quarter.