We will continue to invest in this reduction. We’re working towards it through management and operational efficiency. It’s very important to remark, and Martinez can add something. There is a fundamental point to unleash the value of the cement industry. This is price. The cement prices of around $70 per ton. While in South American countries, the price is not less than $120 in Europe, $140, $150. And in the U.S., prices of the same magnitude in some regions, reaching $180 per ton. So clearly, we have opportunities to reduce cost and enhance prices. This will be a fundamental issue to have more sound results. Martinez?
Luis Martinez : Well, Ricardo, that was very good, Edvaldo. Well, in these businesses, like the businesses we work in, of course, operational excellence is the main pillar. As Benjamin says, we always have to be ready for a war. When you have a low cost, you may be the last to die. And this is what I think every day here, and every moment, myself and Edvaldo when thinking about cement. I personally had a very favorable experience. Since we acquired Lafarge Holcim, CSN has become a very important player in the market. We’re a player that well, we had a very strong point. We worked in the retail market and the package market, 80% was our business. Now CSN works with bulk and inventories that are very favorable. And we’re serving a very beautiful wave, especially with concrete, concrete are growing in Brazil.
Why? Because we have a great deal of work. What happened were also making the most of the growth of concrete and putting more bolt material into the market? In the first quarter, as Marcelo and likes to say, we had price over volume. We had a drop in volume, but not more than the market, of course, and it was smart to do this and leverage the price. So that EBITDA reached 26%. We clearly perceived that one of the levers is fundamental, as Edvaldo said, cement is very sensitive. The price-volume ratio in cement is exponential. It’s difficult not to work with that variable. So CSN in the last few years has always been doing the same. We have good product, bulk product, packaged product. We’re in the concrete chain. We’re not going to buy a concrete company.
Our business is cement. We want to work with the end user. We have 20,000 clients registered. We sell regularly to 12,000 clients every month. Now this leaves us in a more comfortable position in terms of fragmentation, operational excellence mentioned by Edvaldo fundamental. Our plans have costs that are somewhat lower than the market. I’m saying something risky perhaps. And in so far as possible, we’re being more aggressive commercially also in terms of market share and price. So this is our strategy. This is how we harness value in cement. This has been an emblematic phase that we have had in the last year because of the acquisition of Lafarge Holcim. Thank you.
Ricardo Monegaglia: Very good. Thank you very much. I don’t know if I could repeat the second question for the steel mill very quickly.
Luis Martinez : I did keep your question here, Ricardo. I haven’t forgotten it. Now how do we increase profitability and the margin in the steel are two simple things, lowering the cost and increasing the price. An important thing and Benjamin also mentioned this, we were using more plates produced, we insist on operational excellence. Unfortunately, and by the Benjamin raises is always very high. Sometimes we’re very critical day after day. But the truth is that we’re looking at higher numbers, very ambitious numbers. This is not what happened in other quarters. I have participated in other processes with greater volumes in the company. So our bar is very high. I believe that in the second half of the year, we will harvest results from the cost of fleet.
The cost of plate is still prohibitive. We’re speaking of BRL 3,400 nowadays the play market to give you an idea. And I’m looking at what is happening. We can buy labor plate at 610, 625. We can buy from China. Well, not to think about China, but from Vietnam 580, 590. These are very attractive prices, and we’re going to have to use more our excellence has not been concluded. Alexandre Lyra has worked on this to ensure that we can charge BRL 3,000 per ton. It’s what we desire for the year. And in the near future, we should go on to higher competitiveness quartiles as we had in the past. Regarding price, it’s inevitable in the second half of the year to think of a price re-composition. If we continue with the situation of iron ore, which has a pressure coal 250, 240 in the premium at 12%.
Regardless of the premium, we are going to have to make a price correction. And what we have done day after day is to work in the mix, as the mix of Brazil became in coverage because of the invasion of coated and galvanized product. We’re buying more BQ material of low added value as part of this earthquake. We’re trying to recompose volume, recompose the use of tin plates. I believe that in the second half of the year, you will be able to see more positive margins vis-à-vis the first and second quarters. As Benjamin mentioned, our measures are on the right path. They have the right intensity. It’s simply a matter of time, and this will happen in the second half of the year. That would be the solution for margin.
Ricardo Monegaglia: Thank you. That was very clear. Thank you.
Operator: Our next question from Marcio Farid from Goldman Sachs. Your microphone has been unmuted.
Marcio Farid : Well, good afternoon. Thank you for taking the question. Two follow-ups here. Benjamin and Martinez both spoke about how the U.S. have dealt with the industry better than what has been done in Brazil. My question is, which is your appetite to carry out those investments that you mentioned previously, to gain greater exposure in the U.S.A. via steel mills? And how do the recent events change the perception? The second question about your CapEx execution was somewhat weak this quarter. The trend is to increase throughout the year. As you do historically, what is happening with P15? What we saw this quarter, does this suggest a reduction in the pace? And Benjamin said you are disappointed with a delay in the ramp-up of steel plant. If you could speak about the timing, are you more delayed than what was expected? And if you have any visibility on this? Thank you very much.
