Prices for import hot rolled coil (HRC) in UAE have notably increased over the past three weeks, which has been reflected in a number of deals. The main driver for such a development has remained the low availability of material. According to market insiders, trade volumes of ex-India HRC continue to remain limited, as Indian producers have temporarily withdrawn their allocation to the UAE in favor of their domestic market where there is better demand and profitability. The information about a transaction of about 15,000 mt of ex-India HRC at $555/mt CFR which was leaked to the market at the beginning of the current week has not been confirmed by any supplier. “As such, Indian mills are out of market, being very busy with contracts in the domestic market,” the representative of an Indian mill commented. “The last offer which I got for ex-India HRC was at $540/mt CFR, but it was from an international trader who has the material in a position. Mills are out,” an Emirati HRC customer said.
Market sources report that about 20,000 mt of ex-South Korea HRC have been traded to the UAE recently at $560/mt CFR, for January allocation.
As SteelOrbis reported earlier, in the middle of October Emirati customers booked ex-CIS HRC at $505-517/mt CFR.