This week, the anticipated levels of end-user demand for rebar were not observed in the Saudi Arabian market, which had been an active player in the Middle Eastern rebar market for the past several weeks. Previously, having gained the confidence of end-users and traders by keeping their prices level for several weeks, Saudi Arabian rebar producers had finally increased their prices and demand for rebar had increased significantly. However, this week in the Saudi Arabian domestic rebar market price levels have remained unchanged as compared to last week, and it is foreseen that prices will move on a stable trend through the end of this month.
Turning to the UAE's domestic rebar market, end-user demand has this week been at quite low levels. According to some traders, the worst three days seen for several months were experienced this week in terms of end-user demand. In particular, the rapidly decreasing export offers given to UAE have led buyers in this country to suspend their purchases which were already at low levels.
As for Turkey, price declines have predominated in this country's domestic rebar market this week. As an indicator of the poor situation of the industry and steel sector in Turkey, the numbers of offices and warehouses in industrial estates being put up for rent across the country have been increasing on a daily basis. Turkish construction and engineering firms are trying to sell the real estate assets they have on hand; and thus for the time being it is difficult to see them entering into new investments.
It is unlikely that end-user demand will show a recovery in the coming days in the Middle East's rebar market, which in general is faced with similar problems to those mentioned above in connection with Turkey. As a result, in the coming period raw material and billet prices, rather than end-user demand, will determine rebar price levels in the Middle East. However, the hope that some purchases may be seen in the Middle East through late March is helping to maintain the motivation of market players in this region.
Recently, Turkish producers have appeared busy with, especially, the markets of Egypt and Iraq, followed by those of Libya and Israel - in particular, they are in cut-throat competition with European suppliers in the Egyptian and Libyan markets. There are no other remarkable movements evident in the markets of countries in the Middle East and North Africa.