Flat steel prices in Middle East maintain their strong trend, buyers still cautious

In the Middle Eastern flat steel market, both import offers and local producers' price levels have maintained their strong trend, while domestic buyers have continued to remain cautious as regards new purchases.
 
Egyptian flat steel producer EZDK has increased its hot rolled coil (HRC) export offers this week. While last week its HRC export offers were standing at $780/mt FOB, EZDK has pushed up its offers by $20/mt week on week to $800/mt FOB. However, the market reaction to this increased offer level is yet to become clear. Due to the political turmoil in North Africa, market players indicate that EZDK may keep its domestic HRC prices unchanged.
 
On the other hand, HRC offers received by Iranian flat steel producer Mobarakeh Steel in its export tender had remained below the steelmaker's expectations in the first round of the tender. However, SteelOrbis has heard from market sources that, following flat steel price hikes in the world steel markets, Mobarakeh has managed to find acceptance for the $740/mt FOB level that it had been seeking.
 
In the Saudi Arabian flat steel market, local steelmaker SABIC is expected to announce its prices for April shipments, while its current offers for HRC and CRC are now standing at the base price level of $740/mt and $820/mt respectively, both ex-works. In the local Saudi Arabian market, traders' ex-warehouse flat steel prices have remained at their previous levels. Currently, 2-12 mm HRC spot prices are at SAR 3,000-3,100/mt ($800-827/mt) ex-warehouse.
 
$1 = SAR 3.750