Prices on regional slab markets fell by $3 per tonne in July

In July, regional slab markets saw a fall in prices of $3 per tonne. In particular, the reference export price for Brazilian slabs fell by $3 to $577/t (FOB). Following a period of high prices that had lasted since March, a correction was inevitable.

Brazil

According to SteelOrbis, the reference export price for Brazilian slabs fell by $3 in July to $577/t (FOB). Although the decline is continuing, prices remain close to two-year highs. This is driven by strong domestic and export demand.

Exports of Brazilian slabs are highly volatile. According to Secex data, exports rose by 64% month-on-month in June to 642,000 tonnes, following a 43% decline in May. The sharp rise in exports in June is linked to increased shipments to the US and Europe, as well as to Mexico, to which there were no shipments in May. In June, Brazilian slabs were supplied to the US on FOB terms at a price of $620–645/t, to Europe at $548–561/t, and to Mexico at $536/t.

The new quota system, which the EU introduced on 1 July, will not apply to slabs from Brazil, as the system does not cover semi-finished products. In total, the quantitative quotas for Brazil will amount to 227,000 tonnes of rolled steel.

At the same time, reserves for the domestic market remain in place. According to the Brazilian Steel Manufacturers’ Association (IAB), in June local companies increased slab production by 5% compared with May, to 751,000 tonnes. Output of semi-finished products, including the lion’s share of slabs, rose by 7% year-on-year in 1H2026 – to 4.3 million tonnes.

Turkey

Average FOB Black Sea prices in July remained stable at $510/t throughout the period, although they fell by $3 per tonne compared with June. The main reason for the correction was a cooling of demand from Turkish steelmakers, which, in turn, was linked to falling scrap prices and weak demand for rebar.

The market is assessing the new circumstances surrounding the EU’s new quota system, under which Turkey’s tariff quotas amount to just 2.86 million tonnes, compared with actual supplies to the European market of over 7 million tonnes of steel products in 2025. This factor may complicate Russian exports of semi-finished products to Turkey.

According to data from the Turkish Statistical Institute (TUIK), the volume of slab imports into Turkey in May rose by 32% month-on-month to 370,000 tonnes. The average import price stood at $487 per tonne. The largest suppliers in May were Russia (247,000 tonnes, –5% year-on-year) and Malaysia (52,000 tonnes, +8% year-on-year).

Despite the fall in prices, local producers are switching to domestic raw materials. Since the start of this year, the Turkish domestic market has seen a significant increase in production — for the period January–May, it rose by 20% year-on-year to 6.7 million tonnes.

Other markets

In other regional markets, prices have been on a downward trend. The Asian slab market has seen a sharp fall in prices and a lull in trading. Due to the fall in the price of sheet steel and the weakening of the Indonesian currency, buyers have put deals on hold.

The main competition comes from supplies from China and Indonesia. Chinese slabs for coil production remain the cheapest ($480–490/t CFR Indonesia), although premiums for flat steel from China stand at $15–25/t. The Indonesian company Dexin Steel is offering basic slabs at $480/t FOB, and slabs for sheet steel at $500–515/t CFR. Vietnamese products are being offered at $515/t CFR.

A new slab producer, PT Permai Metal Indonesia (a joint venture between Guangxi Guixin Steel and Tsingshan Group), has commenced operations in Indonesia with an annual capacity of 1.5 million tonnes. The plant is offering stock lots at reduced prices ($470/t FOB).

Meanwhile, average slab prices in Japan stabilised at $520/t in July, following a rise of $70 per tonne in April.

It should be noted that in June, most regional slab markets saw price reductions of $20–30 per tonne. In particular, the reference export price for Brazilian slabs fell by $20 last month to $580/t (FOB). Following a period of high prices observed since March, a correction was inevitable.

Courtesy : https://gmk.center/en/news/prices-on-regional-slab-markets-fell-by-3-per-tonne-in-july/