Demand for hot rolled coil (HRC) in the Saudi Arabian market is currently weak. Saudi military intervention in Yemen has negatively impacted on demand. However, market players state that their main problem is weak end-user demand, while demand might increase if political tensions in the region subside.
Local HRC prices in the Saudi Arabian market are currently in the range of $420-450/mt ex-works. On the other hand, HRC offers from South Korea and China to Saudi Arabia are at $400-430/mt CFR and $370-390/mt CFR, respectively, both for June production.