Market sources confirm that rebar retail prices in the local Saudi Arabian market are standing at SAR 2,800/mt ($747/mt) ex-warehouse, while rebar wholesale prices are varying in the range of SAR 2,500/mt ($667/mt) ex-works. Demand from the construction sector has slowed down following the deportation of illegal workers. Market sources say that the process of adapting to the new labor laws in Saudi Arabia is still ongoing, while demand and transaction activity need some more time in order to fully pick up.
Ex-CIS billet offers to Saudi Arabia stand at $545/mt CFR, while Turkish rebar offers are at $560/mt CFR. Market sources report that billet and rebar demand in Saudi Arabia had been brisk but Saudi buyers could not obtain the price levels they were looking for and suspended their purchases.
In the meantime, Turkish rebar offers to Saudi Arabia are standing at $575-580/mt CFR on theoretical basis, while buyers are seeking $570/mt CFR on theoretical basis. Saudi buyers are expected to place orders for ex-Turkey materials in the coming days. Market sources say that Turkish producers will likely reduce their billet and rebar export prices for Saudi Arabia due to lackluster buying activity.
Current freight costs can be viewed here.
$1 = SAR 3.75