Low demand in the GCC region coupled with bearish sentiments in the global steel and raw materials market have left Saudi Arabia’s long steel producers no other choice rather than to lower their prices. However, the reduction in prices announced recently by the largest producer Hadeed has turned out to be higher than expected by most market insiders.
Accordingly, the company has cut its domestic offers for October production by $106.6/mt (SAR 400/mt) over the past month. As a result, the supplier’s 10-14 mm rebar is available at $720/mt (SAR 2,700/mt) CPT, while its 5.5-9 mm wire rod is priced at $773/mt (SAR 2,900/mt) CPT, SteelOrbis has learned.
Other domestic mills have taken their time to declare the new levels, which are expected to be at around $693-707/mt (SAR 2,600-2,650/mt) CPT.
$1 = SAR 3.75