The price range of imported rebar in the UAE market is at AED 4,150-4,200/mt ($1,130-1,143/mt) delivered to site on a theoretical weight basis for three-to-four month deferred payment, excluding VAT. The prices in the UAE market are in line with last week's levels. The domestic prices have almost remained unchanged compared to the price levels of last week. On the other hand, for the time being buyers in this market are not warm in their approach to price levels given from Turkey at $1,030/mt CFR and above on a theoretical weight basis. The UAE buyers have not been so active in purchasing in recent times. Buyers in the UAE have been disturbed due to the slowing Middle East prices and the fact that the UAE prices were fairly high compared to the global prices in the beginning of April. Turkish producers are targeting the price level of $1,070/mt CFR on a theoretical weight basis, due to the fact that they expect the local producer in the UAE to announce a high price level.
The rebar price level in the local Egyptian market has declined to EGP 5,800/mt ($1,068/mt), on actual weight basis and including VAT, due to the pressure from the end-users in the local market and the import deals concluded recently; at the beginning of April the price had been at EGP 6,000/mt ($1,105/mt) under the same conditions. The Egyptian prices have gained momentum due to the rising scrap prices and the strong markets in neighboring countries.
The price range of 8-12 mm rebar of producers other than SABIC in the Saudi Arabian market is at SAR 3,890-4,225/mt ($1,039-1,128/mt) delivered to customer on a theoretical weight basis, including five percent VAT. SABIC's price is slightly below the range in question. Meanwhile, it is heard that there may be a further upward movement in this market on Saturday, April 19.
The rebar market in the Middle East was fairly strong in general in the first quarter. The market has entered April with rapid increases. However, there has been some sluggishness observed in this market. In particular, some offers given from China to the Persian Gulf at the price level of $950/mt CFR have muddied the waters somewhat and triggered thoughts of a possible correction in the minds of market players. However, other factors may dissipate fears of a general price disturbance in the Middle East: namely, the recent price increases in Europe and the USA, and also the fact that the producers supplying billet and rebar to the Middle East have been standing their ground and asking high prices.