SUBSCRIBER NOTE: Platts proposes to increase frequency and update specs for Latin America Slab assessment

S&P Global Platts proposes to update the specifications of the Latin America Slab assessment, in addition to increasing its frequency from monthly to weekly from October 6, 2017.

The frequency increase and revised specifications reflect industry changes and informal feedback.

Platts proposes to change the assessment name from "Slab LatAm Exp FOB Latin Am Port Mthly" to "Slab FOB Brazil" because the assessment directly reflects loadings from Brazilian ports.

Feedback from market participants also supported a move to a more regular assessment frequency. Spot liquidity in the global slab market has increased, and Platts has observed that the Brazilian slab export trade can show marked movement on a weekly basis.

In addition, to capture the majority of Brazilian slab shipments, Platts proposes to change the basis location from FOB Vitoria port to FOB Brazil, including data from all Brazilian ports.

Observed trade data shows that delivery lead times have also increased, therefore Platts proposes to expand the loading window under assessment from 4-6 weeks to 4-8 weeks.

Platts also proposes to increase the volume reflected to 20,000-50,000 mt from 2,000-5,000 mt and to consider the SAE 1006 quality slab in addition to the current A36/A36M grades.

Moreover, Platts invites market participants' feedback on the standard payment terms used in the market. Platts currently normalizes to "At Sight"; informal feedback has suggested revising to net-30-days payment.

Please send any feedback, comments or questions to adriana.carvalho@spglobal.com and pricegroup@spglobal.com by August 25.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing.

Platts will consider all comments received and will make comments not marked as confidential available upon request.