Demand in the local United Arab Emirates (
UAE)
rebar market has declined slightly over the past week. In the same period, local
rebar producers in the region have offered discounts to
UAE-based buyers, causing actual domestic
rebar price levels to fall by AED 20/mt week on week to AED 1,830-1,840/mt ($499-501/mt) delivered to customer.
On the other hand, Turkish steel mills'
rebar offers to the
UAE are currently at $430/mt CFR on theoretical weight basis. Following the downward movement seen in domestic
rebar prices in the
UAE last week,
UAE-based buyers have focused on local suppliers. As a result, demand for Turkish
rebar in the
UAE which had indicated a short-term revival has once again weakened. It is observed that Turkish steel producers have lost their price advantage in the
UAE rebar market, while it is unlikely that they will offer lower
rebar prices to the country as their production costs have increased in line with the rises recorded in import scrap quotations in Turkey. Accordingly, demand for Turkish
rebar in the
UAE is not expected to increase in the short term.
$1 = AED 3.67