This week, although no new deals have been reported yet, buying interest has continued to be seen from Emirati customers, with some purchases reported toward the end of last week involving buyers from the UAE, Qatar and Oman. While most HRC suppliers have kept their offer levels unchanged, Chinese suppliers have begun testing higher prices following announcements related to export licensing, which have also removed lower-priced non-VAT offers from the market. Market views remain divided on whether this upward movement will last. Some participants expect prices to soften again due to weak demand and buyers’ strong resistance to higher levels, while others believe Chinese prices may remain elevated for the coming period. Even so, GCC buyers continue to focus on lower workable price levels and remain cautious about accepting increases unless market conditions clearly tighten further.
As a result, SS400 HRC offers from China to the UAE have moved up this week, settling at $490-505/mt CFR for January shipment, compared with $485-500/mt CFR in the previous week. Market sources note that some lots were sold to Omani buyers last week by non-VAT Chinese traders at around $485/mt CFR, but such lower levels are no longer available from Chinese suppliers at present.
Meanwhile, Indian suppliers have kept their official offers unchanged at $490-505/mt CFR for January shipment. Despite the stable pricing, Indian mills are reported to have concluded sales totaling around 15,000-20,000 mt to buyers in the UAE and Qatar toward the end of last week at approximately $495/mt CFR, for January shipment. However, sources indicate that some of these deals were finalized at slightly lower net levels than initially quoted.
Japanese suppliers have also maintained stable offers, with January shipment prices remaining at $485-490/mt CFR. Although no fresh deals have been reported so far, market participants expect potential buying interest from UAE customers in the coming weeks.
