Since most Emirati buyers are still skeptical about buying more due to the continuing slowness of domestic demand, no fresh deals have been reported in the market over the past week. As a result, the majority of import offers have remained relatively stable week on week. Market participants say that, even though China has some lower prices compared to the market levels, UAE customers anticipate further price reductions since trading activities are generally sluggish, while the UAE domestic market generally slackens as the summer approaches, making it difficult to continue construction projects.
“Demand is still slow, the market is uncertain, and buyers expect more reduced pricing from China. Furthermore, summer is setting in, making construction projects tough,” a UAE re-roller told SteelOrbis
Consequently, ex-China offers to the UAE for SS400 HRC have remained stable from last week, at $490-495/mt CFR, for June shipment. In the meantime, some Chinese suppliers have begun to offer at the lower levels of $480-485/mt CFR, but no deals have been heard yet.
On the other hand, Japanese suppliers have kept prices stable week on week at $495-500/mt CFR, for shipment in July.
Meanwhile, since Indian suppliers' offers have been quite high in the past few weeks, the majority of Emirati buyers are uninterested in any offers or purchasing activity from India. However, according to reports, Indian suppliers are offering at $520-530/mt FOB to the GCC.