Demand still lively in local UAE rebar market

According to market sources, prices in the local UAE rebar market have remained stable during the past week in the range of AED 1,450-1,460/mt ($395-398/mt) delivered, for November production. Market players state that demand is still lively in the UAE market due to ongoing construction and infrastructure projects. However, UAE-based traders have maintained their domestic rebar prices unchanged at relatively attractive levels, since at the end of October major local producer Emirates Steel Industries (ESI) had announced a reduction in its domestic prices for November and December production to AED 1,370/mt ($373/mt) ex-works.
 
On the other hand, Turkish producers' rebar offers to the UAE market are currently at $355-360/mt CFR on theoretical weight basis. However, buyers in the UAE market consider this level to be on the high side and are still postponing their purchases. Meanwhile market sources state that UAE-based buyers are interested in booking Turkish rebar, giving firm bids to Turkish producers at $340-345/mt CFR on theoretical weight basis. But with import scrap prices increasing in the Turkish market, Turkish producers are not expected to reduce their rebar offers to the UAE in the short term.
 
$1 = AED 3.67