Over the past week, Emirati purchasers have been cautious about purchasing HRC since Chinese prices have continued to fall, affecting the import market and influencing other suppliers’ offer prices. However, some suppliers, such as South Korea, are still not offering to the GCC, while an Indian supplier has kept its offers stable despite the decreasing trend. Meanwhile, despite local demand in the UAE being slower, according to sources one of the UAE-based re-rollers is seeking to purchase and is interested in Japanese material, but is waiting for clarity on prices.
As a result, whereas earlier HRC deals from China were in the range of $550-570/mt CFR for November shipment, ex-China HRC offers this week have dropped by $20-25/mt week on week to $530-545/mt CFR UAE. Nonetheless, Emirati re-rollers report that a few Chinese suppliers continue to offer HRC at about $550-560/mt CFR, though this price appears difficult to achieve given the current market trend in China.
In contrast, despite the price reductions mainly from China, Indian suppliers have maintained the same levels as in the previous week, with their offers to the UAE still at $570-580/mt CFR.
Furthermore, this week Japanese suppliers have decided to come back to the GCC market, offering HRC at $550/mt CFR for December shipment, compared to their previous offers at $520/mt CFR.
However, because there is lower trade activity in the GCC market, South Korean suppliers, unlike other HRC exporters, are still not offering HRC to the GCC.
