Local producer Emirates Steel Industries (ESI) in the United Arab Emirates (UAE) has kept its domestic rebar prices stable week on week for June output at AED 2,007/mt ($547/mt) ex-works, excluding five percent VAT. The new domestic rebar prices of ESI for July output are expected to be announced in the coming days.
The sluggish demand in the local UAE rebar market may slacken further since the UAE government has prohibited labourers, construction workers and out-of-office workers from working around midday due to hot weather conditions, effective as of Saturday, June 15. With this ban, which will end on September 15, the UAE government aims to prevent workers from being exposed to direct sunlight during the hottest hours of the day.
Considering the weakness of demand in the local UAE rebar market and also due to the sluggishness of the construction sector, it is believed that domestic rebar prices may move down for July output.
Additionally, retail prices of ESI’s rebar in the UAE market have remained stable week on week at AED 1,920-1,950/mt ($523-531/mt) delivered to customer. Meanwhile, SteelOrbis has been informed that traders offer much lower prices for the same product at AED 1,890/mt ($515/mt) delivered to customer for large volumes.
It is observed that UAE-based mill Conares has also kept its domestic rebar quotations stable over the past week at AED 1,800/mt ($491/mt) ex-works. Also, Union Iron and Steel’s domestic rebar prices are standing at AED 1,840/mt($501/mt) ex-works, while Jindal Shadeed and Sohar Steel Rolling Mill’s domestic rebar prices are at AED 1,825/mt ($497/mt) ex-works and AED 1,820/mt ($496/mt) ex-works, respectively. On the other hand, other producers’ domestic rebar quotations have decreased by AED 15/mt week on week to AED 1,830-1,850/mt ($499-504/mt) delivered to customer.
$1 = AED 3.67