Brazil: CSN to restart idled blast furnace, raises steel prices for Nov'20

Brazilian integrated steel-maker Companhia Siderurgica Nacional (CSN) has recently published its Q3 CY20 results. CSN has mills in the US, Portugal and Germany too. Below are highlights of the flat steel major's performance during the period:

• Company will reignite the idle No2 blast furnace by the end of Nov'20 at the Presidente Vargas mill, in Brazil's southeastern Rio de Janeiro state. The furnace was banked when the pandemic weakened steel demand back in May'20.
  
  
• The furnace has capacity to produce 1.5 mn t pa of crude steel. Presidente Vargas mill's production capacity stands at 5.6 mn t pa.
  
  
• Brazilian steel supply to reach 1.2 mn t per month with ramp of the furnace, against sales volumes of 1 mn t in Sept'20
  
  
• CSN's steel volumes grew 27% in Q3, while iron ore and coal mining also witnessed growth. Company sources revealed there has been significant reduction in finished steel inventory as well as that of slabs from the high volumes accumulated in Q2 due to depressed demand.
  
  
• CNS's domestic steel sales have inched up from 0.5 mn t in Apr'20 to 0.9-1 mn t in Aug-Sept'20.
  
  
• The steel major has raised prices for flat and galvanized products from 7-10% for Nov'20. Earlier rivals ArcelorMittal SA and Usiminas too have raised flat steel prices by 10%.
  
  
• Tight supply amid a fast consumption recovery from the lowest levels seen due to restrictions to combat COVID-19 have been supporting higher domestic steel prices in Brazil