UAE’s local rebar consumption might see a Ramadan-related slump

Tuesday, 20 April 2021 21:58:48 (GMT+3)   |   Istanbul
       

Domestic rebar consumption in the UAE, which has been fluctuating since early this year, is mainly expected to show good results for April. However, it may decrease in May, following the Ramadan period and the traditional effect of the hot weather conditions.

According to sources, the local rebar consumption in the UAE, which has been at 160,000-170,000 mt in January-February, has decreased to around 150,000 mt in March. However, the April figures are likely to show a rebound to the previous levels and to maybe hit 170,000-180,000 mt, taking into account the ongoing increase in demand. However, sources are rather skeptical regarding the May period as usually the business activity slumps during Ramadan. In addition, the hot weather conditions are expected to traditionally impact the construction as well. “Consumption could fall to 145,000-150,000 mt levels,” a source said. However, some producers believe the May figures will be still above 160,000 mt.

In terms of suppliers’ structure, the UAE’s market has not seen much change over the past months. ESI is still the leader with over 60 percent share, while other local producers account to around 15 percent. Omani mills have not increased their sales to the UAE much taking into account occasional export sales to Asia. The share of ex-Oman supplies in the UAE is estimated at around 20-25 percent, SteelOrbis understands.


Most Recent Related Articles

GCC to announce definitive safeguard measures against certain steel imports

Bahrain’s Unirol raises rebar price by over $50/mt

Rebar price increases in Oman difficult due to weak demand

Saudi Arabia’s Hadeed rolls over local rebar price

Egypt’s rebar consumption rebounds in March