The GCC HRC market has continued to show little activity, as ongoing geopolitical tensions and disruptions to key trade routes keep import conditions challenging and limit overall visibility. Demand in the domestic market remains slow, with business activity reported to be progressing at a weak pace under the current environment. At the same time, sentiment has shown a slight improvement following news of a possible reopening of the Strait of Hormuz in the coming weeks, alongside a growing number of offers from Chinese suppliers. However, this has yet to translate into actual transactions, with market participants remaining cautious and no confirmed deals reported so far. Although price indications have moved up compared to last week, mainly driven by firmer Chinese offers, a clear tradable price level has not yet emerged, while most other suppliers continue to stay out of the market.
As a result, Chinese offers have continued to increase over the course of the week. At the beginning of the week, HRC offers were heard at around $490-510/mt FOB, with indicative freight levels of $60-70/mt, bringing workable prices to approximately $550-590/mt CFR. However, according to market sources, offers showed a further increase by mid-week, with Chinese HRC (1.2 mm) for May shipment reported at around $610-615/mt CFR to Jeddah.
Meanwhile, Indian suppliers’ indicative offers to the GCC have remained largely stable at around $520-530/mt FOB for May shipment. However, booking interest remains very limited, as elevated freight costs and ongoing risks across key trade routes continue to hinder deal-making. As a result, both buyers and suppliers find it difficult to reach workable terms under current conditions. While the potential reopening of the Strait of Hormuz may offer some short-term support to sentiment, its impact on actual transactions remains uncertain.
On the other hand, Japanese suppliers have remained largely absent from the market, with no fresh offers or concluded deals reported. Russian suppliers have also shown limited activity, although some offers have been heard at around $505-515/mt CFR for May-June shipment.
