Brazilian pig-iron industry update – Copyright, Bryan Berry. Posted by permission

Brazil , Commodities , Iron ore , Metals , USA Mar 06, 2014 No Comments

Pig IronSince our previous 2012 article “Brazilian Iron Ore and the Environment“, there have been a number of several significant changes in the Brazilian pig-iron industry and its U.S. customers. At that time, companies were recalcitrant in meeting their responsibilities to uphold environmental and labor laws in the supply chain.

Since then Nucor’s primary Brazilian supplier of pig iron, Sidepar, was suspended from Brazil’s National Pact for the Eradication of Slave Labor on 22 January 2013. Nevertheless, Nucor continues to be the major buyer of pig iron from Sidepar.

In March 2013, Cargill stopped buying Brazilian pig iron. Previously Cargill had been the leading U.S. importer of pig from the Brazilian state of Pará.

Waupaca Foundry, the largest independent foundry company in North America, reportedly has virtually stopped buying pig iron from Brazil; now it’s buying pig almost exclusively from Russia, pig-iron brokers report.

Brazilian pig producer Cosipar, which had been expelled from the National Pact for the Eradication of Slave Labor and which was not a member of Brazil’s Instituto Carvão Cidadão (Citizens Charcoal Institute), has gone out of business after not paying its bills and being the target of a number of lawsuits for that.

As of Feb. 28, 2014, Nucor continues to buy “100 percent of the pig iron” that Brazilian pig-iron producer Sidepar produces, one U.S. pig-iron executive reports.

Special Report: Nucor continues buying pig iron from Brazil’s Sidepar, despite new legal issues – Bryan Berry on Pig Iron

Bryan Berry

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