While flat steel demand in the
Middle East and North
Africa is still generally weak, Saudi Arabian flat steel demand has shown some signs of recovery.
As SteelOrbis previously reported, the Egyptian flat steel producer
EZDK had reduced its export offers for June production hot rolled coil (
HRC) from $800-820/mt FOB to $790/mt FOB, with this offer level still valid in the current week. In the meantime,
EZDK's export offers for thin
HRC are at about $860/mt FOB.
In the Saudi Arabian flat steel market, domestic demand has shown some signs of recovery as compared to previous weeks, while local stockists have increased their local sales prices by SAR 150/mt ($40/mt). Thus, the sales price for 2-12 mm
HRC has increased from SAR 3,000-3,150/mt ($800-840/mt) to the price range of SAR 3,150-3,300/mt ($840-880/mt). Meanwhile, Taiwanese origin 1.2 mm
HRC offers to the Saudi Arabian market stand at $933/mt CFR for May shipments, with Japanese origin
HRC offers at $950/mt CFR.
The Saudi flat steel producer Hadeed has kept its domestic flat steel offers for 90-day deferred payments unchanged. Accordingly, the producer's
HRC price is still standing at $815/mt, while its hot dip
galvanized (HDG) coil offers are at $1,000/mt and its cold rolled coil (
CRC) offers are at $900/mt, all for deliveries to Dammam.
In the
UAE and other Gulf countries, flat steel demand is still following a weak trend and buyers are delaying their bookings for the moment. Although flat steel import offers given to this region have softened as compared to previous weeks, buyers are not showing interest in these offers for the time being. Russian
HRC offers to the Gulf region have declined from $800-810/mt CFR to $780/mt CFR. SteelOrbis has also heard that South Korean and Japanese origin
HRC offers to the region are at $800/mt CFR.