The recent uncertain situation in the Middle East and North African (MENA) countries is having a negative influence on demand for flat rolled products in these markets.
Iranian producer Mobarakeh Steel issued a tender expecting to obtain $735-740/mt FOB; however, as per reports received by SteelOrbis, deals at around $720/mt FOB have been concluded in view of the bids collected. The Mobarekeh tender is now closed. The previous sales price levels for April rolling registered by Mobarakeh were at $750-760/mt FOB for export to Europe and the Middle East.
Hot rolled coil offers to Saudi Arabia for 1.2 mm thick material of South Korean and Egyptian origin via traders currently stand at $880-885/mt CFR, while offers for 2 mm material are given at $820-845/mt CFR.
Sales prices in the Saudi Arabian domestic market continue to remain at previous levels. For 2-12 mm thickness, the price level stands at SAR 3,150-3,300/mt ($840-880/mt) ex-works.
Hot rolled coil offers from Spain to North Africa stand at €600-610/mt CFR levels; however, SteelOrbis hears from the market that such price levels have not met any significant demand response from the buyers' end.
Furthermore, as demand is low in the Lebanese and Syrian markets, buyers in these markets are not interested in import offers and are currently expecting prices well below the current numbers.