In the GCC, trading activity in most countries of the region has been at moderate levels with decent interest being shown for domestic origins. In the import segment, only some buyers are ready to negotiate large cargoes from Asia, while Iranian offers are under pressure despite having settled at much lower levels compared to local billet prices.
In particular, in Oman and the UAE, ex-Iran offers are mainly at $410-415/mt FOB from traders, which equals around $430-435/mt CFR and $435-440/mt CPT. Some cargoes are ready for shipment at Iranian ports, while some are for December shipments. Still, some buyers are pushing for below $400/mt FOB, which is $10/mt lower than the current indications. Outside of the GCC, the latest deal from Iran was concluded to Asia at $435/mt CFR, which is equal to around $400/mt FOB. In addition, IF billet offers from Iran have been at $385-395/mt FOB depending on the supplier, but not every buyer is satisfied with the quality.
Domestic billet offers in Oman and the UAE are at $485-490/mt CPT, in line with the levels of the past couple of weeks. In Saudi Arabia, the latest domestic offers for IF billet are at SAR 1,800/mt CPT which is equal to $480/mt CPT based on $1 = SAR 3.75.
Import offers to the GCC are mainly coming from China via international traders at $457-462/mt CFR depending on the country and mostly for shipment in early January. According to sources, a cargo of over 50,000 mt was booked at slightly below $455/mt CFR earlier this week, followed by offers at $460/mt CFR and above, which are currently considered to be on the high side.