Given the persistently high demand levels and increased prices of market leaders, UAE-based rebar suppliers have decided to raise prices further month on month. Furthermore, market participants believe that, because the outlook is quite good and demand is proceeding well, with consumption above 300,000 mt per month, the majority of suppliers anticipate further rises in the coming month.
As previously reported by SteelOrbis, official rebar offers from the leading domestic producer Emsteel for January production have been increased to $722/mt (AED 2,652/mt) ex-works. As a result, retailers’ current feasible levels in the UAE have increased also. Currently, Emsteel origin materials are at AED 2,500-2,530/mt ($680-688/mt) CPT, and non-Emsteel materials are offering at AED 2,350-2,420/mt ($640-658/mt), for 90-day LC payment, up from AED 2,450 ($667/mt) and AED 2,350/mt ($640/mt), respectively.
However, Arabian Gulf Steel, another supplier of rebar, has set the same price as last month at $623/mt (AED 2,290/mt).
“Manufacturer and traders are resisting price increases, quoting the international trend,” a source said SteelOrbis.
Meanwhile, Omani suppliers have also raised their rebar offers to the UAE. At the moment, rebar offers to the UAE are at AED 2,330/mt ($634/mt) CPT for 90-day letters of credit, which is higher than the previous offers at AED 2,275-2,300/mt ($619-626/mt) CPT.
$1 = AED 3.67
$1 = OMR 0.3845