Brazilian steel mills probe coking coal spot market

摘要

Against the backdrop of improving industrial activity in Brazil, the country’s steel mills are probing suppliers for spot coking coal for delivery in the last two quarters. However, demand for spot cargoes is still at least 30-35% down compared with last year, according to local sources. A large steel mill is expected to close a tender for three low-vol cargoes of 20,000 t each on Wednesday for delivery in the third quarter. Market sources suggested the company is looking for United States and Australian material and is chasing hefty discounts to index, on the premise this is a buyer’s market.