The UAE’s interest in the import hot rolled coil (HRC) purchases has remained at a rather modest level amid the currently insufficient end-user demand. One of the reasons is the approach of Ramadan during which business in the region normally slows down significantly. “The market is relatively quiet and with Ramadan approaching will remain quiet,” a UAE pipe producer said to SteelOrbis.
In addition, most offers in the market are considered high by buyers and some interest has been seen only in ex-China HRC since it is the lowest price in the market. According to sources, China sold 10,000-15,000 mt of HRC to the UAE at $730/mt CFR for May shipment. The fresh offers for SS400 grade remain unchanged from last week at $720-730/mt CFR to the UAE for May shipments.
Meanwhile, India's high and consistent offers are still not attractive to Emirati customers, and so the majority of suppliers in India have decided to suspend offers to the GCC for the time being and instead are focusing on the European market, although some suppliers are still offering $750/mt CFR to the UAE for May shipment.
Similarly, South Korea, which is more focused on the better trade to other destinations, has kept its offers to the UAE for May and June shipments at $800/mt CFR, in line with last week.