SteelOrbis has been informed that prices in the local Saudi Arabian
rebar market have increased by SAR 30/mt ($8/mt) on average over the past three weeks to SAR 2,200-2,250/mt ($587-600/mt) delivered, while demand in the market has been lively in the same period due to ongoing construction projects. Demand is expected to remain strong ahead of Ramadan which starts on June 18 and and before hot weather conditions start to prevail in the country, and then is foreseen to start to slacken slightly.
Turkish
rebar offers to the Saudi Arabian market are now in the range of $465-475/mt CFR on theoretical weight basis. However, this price range is considered to be on the high side, while buyers' firm bids are at $450-460/mt CFR. On the other hand, Turkish producers state that they are under pressure from higher input costs due to import scrap prices which are also considered to be on the high side. Therefore, Turkish producers are unwilling to reduce their
rebar offers to the Saudi Arabian market.
Meanwhile, Saudi buyers are unwilling to conclude import transactions due to the ongoing military tensions in Yemen, causing demand for domestic products to gain strength and making Saudi producers very happy.
$1 = SAR 3.75