Egypt-based steel giant Ezz Steel has once again adjusted its domestic prices for long products according to the fluctuating exchange rate which has again reached around EGP 63 to the US dollar. In the meantime, export prices for longs have remained relatively stable, with only some Egyptian suppliers considering slight discounts.
Currently, Ezz Steel’s prices for the local longs market are at EGP 53,520/mt ex-works, which is EGP 3,600/mt higher than the previous levels. On US dollar basis, the supplier’s offers are now set at $745/mt ex-works. “They are trying to fix the US dollar price for the local market, but the rate is fluctuating too much and financial issues are not going anywhere. Eventually, it has hit business activity since the market is going through many adjustments,” a market source told SteelOrbis.
As regards the export market where competition is tougher, Egyptian mills are offering more modest levels for long products. The latest offers for rebar and wire rod have been ranging at $590-610/mt FOB for April shipments depending on the supplier. The European markets are being targeted as usual, although the current demand for long products in the EU is rather slow.