HRC demand weakens in Saudi Arabia, CRC demand still strong

Hot rolled coil (HRC) demand and prices have softened in the Saudi Arabian market. Meanwhile, cold rolled coil (CRC) demand has remained strong and CRC prices have increased. During Ramadan demand for all flat steel products is expected to slow down, while it is thought that CRC demand will likely improve rapidly after Ramadan.
 
In the meantime, Japanese and Chinese HRC offers, which are at $650-660/mt CFR + VAT, for advance payments and for September shipments to the Saudi Arabian market, are considered to be on the reasonable side. However, these import offers are for high volume orders for all grades, and for this reason HRC prices in the Saudi Arabian domestic market are not able to decrease to the levels in question. Also, it is heard that firm bids are also possible for these offers.
 
Meanwhile, in the Saudi Arabian domestic market hot rolled coil (HRC) prices are at $715-770/mt, cold rolled coil (CRC) quotations are at $785-830/mt, hot dip galvanized (HDG) prices stand at $850-870/mt and pre-painted galvanized iron (PPGI) prices are standing at $900-995/mt. All the prices are on ex-works basis, exclude VAT, and are for advance payment and for August and September shipments.