According to market sources, rebar prices in the local UAE rebar market, which were in the range of AED 2,100-2,120/mt ($572-578/mt) delivered last week, have since declined to AED 2,060-2,070/mt ($561-564/mt) delivered. The local UAE rebar market has been quiet in the same period, while it can be said that demand and consumption by end-users are at good levels due to ongoing and upcoming construction projects. However, market sources explain that the softness recorded in local rebar prices is caused by the significant reductions announced by UAE-based steel producer ESI in its prices on December 17. Meanwhile Qatar Steel revised its prices yesterday, December 22, following ESI's announcement.
On the other hand, rebar offers from Turkey are currently finding it difficult to attract interest in the UAE market. Turkish rebar offers are now at $500-510/mt CFR on theoretical weight basis, but UAE buyers are focusing on their domestic market instead of on imports due to the more attractive local offers. Additionally, stock levels are on the high side in UAE rebar market, while market sources report that large tonnages of Turkish rebar are expected to arrive in the UAE market in January.
$1 = AED 3.67