SAO PAULO, March 31 Brazilian steelmakers plan
to raise domestic prices in April by as much as 15 percent, a
move aimed at partially matching a surge in the price of iron
ore in global markets, Valor Economico said on Wednesday,
citing unnamed sources with knowledge of the situation.
A new round of price increases is likely as supply of the
metal remains tight and the cost of coal rises globally, Valor
said. CSN (CSNA3.SA), Brazil's second-largest flat steel maker,
will push prices higher on Thursday, Valor added.
CSN told Valor that any increases would be triggered by the
surge in prices for coal, coke and iron ore.
The move comes as Brazil's Vale (VALE5.SA), the world's
largest producer of iron ore, and rivals including BHP Billiton
will price the metal quarterly from April 1.
Steel companies will charge higher prices for distributors
first, the newspaper said, adding that some specialized
clients will be told of price increases in the second half of
The decision could fan rises in wholesale and consumer
prices in Brazil at a time when the central bank is considering
raising borrowing costs, Valor added.
The Brazilian government has threatened to slash levies on
imports of some types of steel should domestic producers raise
(Reporting by Guillermo Parra-Bernal, editing by Dave