Over the past week, import hot rolled coil (HRC) offers to the United Arab Emirates (UAE) have increased by $10/mt on the upper end to $545-570/mt CFR, while UAE-based buyers have continued to make bookings.
Meanwhile, ex-China HRC offers to the UAE are still at $560-565/mt CFR, remaining unchanged week on week. Some Indian flat steel exporters have increased their prices in order to maintain their profit margins amid the strengthening of the Indian rupee against the US dollar. As a result, ex-India HRC offers to the UAE have increased by $10/mt week on week to $560-570/mt CFR. However, UAE-based buyers consider $560/mt CFR to be on the high side and no deals have been concluded at this price level yet.
As UAE-based buyers are continuing their import HRC bookings in order both to meet their immediate needs and to replenish their inventories, import HRC offers to the UAE are unlikely to decrease in the short term.