Lebanese longs market has remained non-promising in terms of business, taking into account the persisting economic and financial difficulties. According to media sources, the currency has lost by now over 90 percent of value which for sure makes the trade, in the steel segment inclusively, too difficult. Still, some offers are there and Arabic origins are still preferred, since they can be imported with no duty.
Ex-North Africa offers are among the most attractive ones. In fact, Egypt is offering around $560-570/mt FOB for rebar and wire rod, respectively, which makes the delivered offers reach around $580-585/mt CFR for both products. One of Algerian mills is currently offering both rebar and wire rod for October shipment at around $540/mt FOB with the estimated freight of around $40/mt. Overall, North African longs offers have been stable over the past month.
The offers from alternative suppliers are on the higher side. Turkish mills are attempting to reach $580/mt FOB (+$10/mt over the week) or around $595/mt CFR Beirut. Previously, a 2,000 mt sale has been reported at $570/mt FOB ($585/mt CFR). Earlier this week even more bullish sentiment has been expected from Turkey, but the import scrap demonstrated softening in the most recent transaction. Still, there is a possibility of the energy tariffs hike once again in September, which might restrict mills’ willingness to provide discounts. Turkish wire rod prices are at $590-600/mt FOB with $15/mt estimated freight.
Local rebar prices are at around $680-700/mt CPT, including VAT. The lower end of the range is for ex-Saudi Arabia rebar, while the upper end is available for Turkish origin.