Platts launches two daily Brazil ferrous scrap export assessments

Platts, part of S&P Global Commodity Insights, has launched two daily Brazil ferrous scrap export assessments, effective Sept. 16, 2024.

The new Heavy Melting Scrap (HMS)1/2 and Shredded Scrap Containerized FOB Brazil price assessments, which Platts understands to be the first daily assessments for the South American export scrap market, complement Platts' established suite of domestic ferrous scrap benchmarks and build on existing comprehensive Platts scrap benchmarks globally.

Brazil saw record-high ferrous scrap export volumes in 2023, with about 800,000 mt of material flowing abroad, more than double the 369,305 mt exported in 2022, according to customs data.

The increase in exports has persisted so far in 2024, during a challenging time for the Brazilian steel recycling sector. It has historically focused on the domestic market but has viewed exports as a relief valve in recent years amid reduced local steel consumption and production.

The new assessments have the following specifications:

The assessments can be found under the following symbol codes:

Platts initially proposed the launch in a subscriber note published July 16, available here.

It later amended the effective date in a notification published Aug. 19, available here.

All market information reported to Platts may be considered for publication, including firm bids, offers, transactions, indications of value, as well as any other data deemed relevant to the assessment process.

Platts may normalize information heard in the market with differing specification in order to meet the assessment specifications. Normalization brings market information in line with the Platts assessed specifications.

The assessments, which follow Platts Brazil publishing schedule, are published on a daily basis and reflect a Sao Paulo time market close (4:30 pm).

The daily assessments and associated monthly averages appear in Steel Markets Daily, Steel Raw Materials Monthly and World Steel Review, as well as on Platts Steel and Raw Materials Alert page STL1602 and STL1604.

The first monthly average calculations will update on Nov. 1, reflecting the average of daily assessments published throughout October.

Please send all comments, feedback and questions LatAmMetalsteam@spglobal.com and pricegroup@spglobal.com.

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