Analysis
August 16, 2026
India emerges as key player in US pig iron market dominated by Brazil
Written by Stephen Miller
The pig iron market in the US has been thrown into uncertainty. The culprit? Indian material being imported into the US at prices well under the prevailing Brazilian level.
However, there is debate about the size of the price difference between Indian and Brazilian product.
Indian imports had only been sporadic over the last year. Their emergence on a larger scale has been aided by the US exempting pig iron from tariffs. The trend has also been encouraged by lower production costs in India. Another important reason: weak pig iron demand in Turkey, the Middle East and North Africa (MENA), and Southeast Asia.
The price is right?
According to several sources, the price of Indian pig iron on an FOB basis has been reduced to $375 per metric ton (mt). However, the same sources claim the CFR US port cost is still $480-490/mt. This does not make sense because the ocean freight is estimated at around $60/mt, which lands it in New Orleans at $435/mt.
Other sources have reported the FOB India price is $415-420/mt, which increases the CFR price to approximately $480/mt. This narrows the difference between the two origins. However, it still is under the last Brazilian cargo, which sold a month ago at around $500/mt CFR.
A Brazilian source told SMU he has heard of the lower figure for India. But he could not confirm it. He also noted that shipments from Ukraine have been stymied because of naval military operations in the Black Sea. He added the mood in Brazil is not good.
Room for India, Ukraine, and Brazil?
Whichever figure is operative for Indian material, this fact remains: US pig iron users are enjoying lower-priced imports of a critical raw material. In addition to the removal of tariffs from all foreign sources of pig iron (a savings of $40-50/mt), the weak metallics markets in Turkey and the MENA region have further undercut prices from the main US sources in Brazil.
The only remaining question is how much India can supply and whether Ukrainian shipments will resume. The loss of Ukrainian shipments is significant. Figures supplied by the Ukrainian State Customs Service show Ukraine exported 851,000/mt of low phosphorous (“low phos”) pig iron to the US in H1 2026. So, chances are US steelmakers will still need to keep the Brazilian trade flow alive. Prices, however, will probably be significantly lower.
