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Utilization of steel import quotas show small increase in Brazil

Tuesday, 28 January 2025 20:13:56 (GMT+3)   |   Sao Paulo

The Brazilian foreign trade authority, SECEX, reported the percentage of the total quotas of 529,113 mt that were used by the importers until January 27, 2025.

Such import quotas are valid until January 31, 2025, for imports at the current average import tax of 12.5 percent, while the exceeding imports will be subject to import tax of 25 percent.

The quotas, by family of products, and respective utilization rates, compared to the position on mid-December 2024, are the following:

- Plates in Coil: 7,964 mt, 6 percent already used, unchanged

- HRC: 54,030 mt, 41 percent already used, up from 38 percent

- CRC: 100,559 mt, 83 percent already used, up from 74 percent 

- Zinc Coated: 156,709 mt, 90 percent already used, unchanged

- Galvalume: 155,892 mt, 90 percent already used, unchanged

- Wire Rod: 52,976 mt, 72 percent already used, up from 69 percent

- Seamed piping: 983 mt, 23 percent already used, unchanged

In total, 82 percent of the 529,113 mt of the quotas were already used by the importers against 78 percent in mid-December.

Such quotas and higher import taxes were implemented to face imports at alleged dumping prices, mainly from China.

The small difference in one month period is ascribed by analysts to the devaluation of the BRL in relation to the USD, leading importers to the postponement of clearing customs procedures in the hope of a more favorable exchange rate ahead.


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