Buying activity in the GCC HRC import market has strengthened lately, as buyers have stepped up purchases while continuing to push back against higher price levels. Although suppliers have largely kept their offers stable and, in some cases, are still seeking price increases, GCC buyers have remained firm in negotiations, proceeding with purchases only at lower or workable prices. As a result, several deals have been concluded in recent weeks at levels below initial offers, highlighting persistent resistance to upward price expectations despite improved buying interest.
According to sources, toward the end of last week, multiple Saudi buyers booked ex-China A36 grade material at around $500/mt CFR for March shipment. In addition, according to market sources, two enquiries from re-rollers totaling 25,000-30,000 mt have emerged in the UAE, with indicative levels quoted at around $485-490/mt CFR, though these have not yet been translated into confirmed deals. In general, Chinese offers to the GCC have remained stable and mostly above recently concluded deal levels, at around $495-510/mt CFR for March shipment.
Meanwhile, Indian suppliers, who were actively concluding deals in the GCC market a couple of weeks ago, have slowed sales this week amid strong domestic demand and higher acceptable price levels at home. As a result, no further deals have been reported, with some major Indian mills currently refraining from offering to the GCC. Other Indian suppliers have kept their offers stable at around $495-505/mt CFR for March shipment.
On the other hand, Russian HRC offers to the GCC have remained stable this week at around $470-480/mt CFR for March shipment. According to market sources, a Russian supplier concluded a deal last week for 35,000-40,000 mt of HRC to the UAE at approximately $470/mt CFR for April shipment.
Moreover, Japanese suppliers have remained largely silent, with no fresh offers reported, as sources indicate that March shipment material has already been sold. Japanese mills are expected to return to the market with April shipment offers in the coming weeks. Previously, Japanese HRC offers were heard at around $495-500/mt CFR. Some buying interest has recently emerged for April shipment, particularly for re-rolling grade material, but negotiations have stalled, as suppliers are targeting higher levels of around $510/mt CFR, while buyers are aiming for $500-505/mt CFR, preventing deals from being concluded so far.