The still sluggish
UAE domestic
rebar market has not witnessed any changes in prices since last week. Accordingly,
rebar prices in the country are still standing at AED 2,560-2,575/mt ($697-701/mt) on theoretical weight basis, for deliveries to customer.
Demand in the
UAE for local production and imported
rebar has remained silent and no improvement is anticipated this week. Next week, Emirates Steel Industries (
ESI) and Qatar Steel are expected to announce their
rebar prices for the
UAE market. Until these announcements are made, domestic
rebar prices in the
UAE are foreseen to trend sideways at current levels and no change is expected in demand.
As SteelOrbis has reported, rumors that the government will cancel the five percent import duty exemption of cutters and benders for
rebar has continued to cause unease in the market. Following the emergence of these rumors, inquiries for
rebar imports have decreased significantly and the number of
rebar offers to Dubai from
Turkey, the
CIS and
China has also declined in response.
However, despite such factors, it should be noted that the
UAE will have to import
rebar to satisfy its monthly
rebar market demand of 200,000 mt, given that its current domestic production is approximately 150,000 mt. As a result, local traders will probably start importing
rebar soon, though they are not expected to make their move until domestic producers' price announcements next week. It is thought that the local traders, who are keeping a close eye on the global economic situation, may postpone their
rebar bookings until the last minute, anticipating a softening in prices.
$1 = AED 3.673