According to markets sources, demand in the local United Arab Emirates (
UAE)
rebar market which slowed down slightly last week is still at low levels.
At the end of March,
UAE-based steel producer Emirates Steel Industries (ESI) had increased its
rebar prices for April output by AED 74/mt compared to its
rebar quotations for March output to AED 1,863/mt ($508/mt) ex-works. However, market sources report that
UAE-based buyers have not accepted this price level and so ESI has reduced its
rebar quotations for April output to around AED 1,760-1,770/mt ($480-482/mt) ex-works. On the other hand, domestic
rebar offers of some
UAE-based steel mills are heard to be at AED 1,695-1,710/mt ($462-466/mt) ex-works. As a result of the competitive pricing strategy of the steel mills,
UAE-based buyers have found leverage to exert downward pressure on traders' domestic
rebar offers. As a result, traders in the local
UAE rebar market have also reduced their prices, decreasing them by AED 30/mt week on week to AED 1,800-1,810/mt ($490-493/mt) delivered to customer.
Turkish steel producers'
rebar offers to the
UAE were at $430/mt CFR at the beginning of last week, while they increased them to $440/mt CFR in the second half of last week against the backdrop of the rises seen in import scrap quotations in Turkey. Both prices are on theoretical weight basis. Demand for Turkish
rebar in the
UAE revived slightly at the end of March but, following the increases recorded in Turkish steel mills'
rebar offers, demand for Turkish
rebar once again nearly come to a halt towards the end of last week. As a result, no new Turkish
rebar offer has been heard in the
UAE.
$1 = AED 3.67