As mills in the Middle Eastern flats market raise their prices in parallel with the global flats markets, demand in the region continues to maintain its robustness.
Demand for HRC and HRS is brisk in the United Arab Emirates (UAE). In addition, ex-Egypt, Iran, Ukraine, Russia and Chinese offers are also heard in the region. With bookings mainly being concluded from China, it is also heard that some bookings have been concluded from Vietnam. SteelOrbis has learned that in the UAE the latest HRC booking ex-Iran has been concluded at the level of $1,250/mt CFR Dubai. On the other hand, ex-China HRC offers for the UAE currently vary in a range of $1,100-1,140/mt CFR Dubai for July/August shipments.
The plate market in the UAE is registering a more stable trend compared to HRC and HRS. It is heard that some commercial grade plate offers ex-Ukraine are given at $1,300-1,350/mt CFR Dubai. As regards Indian origin offers for commercial grade plate, they stand at $1,300-1,310/mt CFR Dubai. Ex-China plate offers for the same destination are at $1,200/mt CFR Dubai on a theoretical weight basis. Meanwhile, plate prices in the local UAE market vary in a range of $1,250-1,300/mt ex-warehouse.
The strong demand in the local Saudi Arabian market still continues. In this local market, prices for HRC stand at $1,180-1,200/mt ex-works, CRC stands at $1,250/mt ex-works, whereas the HDG base price is around $1,400/mt. With export offers hovering around the abovementioned levels, the mills are mostly supplying their materials to the local market. There are also ex-China and Egypt offers for the Saudi Arabian market.
As regards the local Egyptian market, HRC prices vary in a range of EGP 5,015-5,425/mt ($936-1,013/mt). Egyptian mill EZDK's export offers for HRC stand at $1,220-1,225/mt FOB for September and October shipments, whereas Libyan origin HRC offers are seen at €705/mt FOB. Meanwhile, Ukrainian steelmaker Zaporizhstal's HRC offers to Middle Eastern countries are currently at $1,060/mt CPT, while this producer's offers for the Gulf countries stand at the level of $1,050/mt CPT, and its offers for North Africa are at $1,050/mt CPT, all for July shipment.
As regards Syria's domestic flats market, HRC prices have been at $1,000/mt. Early this week in the market in question, ex-Ukrainian Zaporizhstal offers were at $1,050/mt FOB, while those from MMK were at $1,080/mt FOB. These mills' allocated materials for export to this region have currently all been sold off. Thanks to the financial situation, demand in the Syrian domestic market is registering normal levels. Ex-Vietnam flats offers for Syria have also been heard. Among these offers, HDG stands at around the level of $1,500/mt CFR Syria.
In the coming days, it is likely that the robust demand in the Middle Eastern markets will not lose its momentum, preserving its current trend.