UAE mills make competition difficult for import rebar offers

Demand in the local UAE market is expected to recover in the coming days following the price reductions made by local mill Emirates Steel Industries (ESI) and Qatar-based Qatar Steel for their November production rebar offers. Demand has remained stagnant in the market due to the oversupply of import materials, which caused mills to revise their prices for November output downward in order to maintain their competitiveness. Accordingly, the new rebar offers of ESI and Qatar Steel are at AED 2,185 ($595/mt) and at QAR 2,175/mt ($598/mt) respectively, both on ex-works basis.
 
Turkish mills rebar offers to the UAE, meanwhile, are standing at $587-590/mt CFR on theoretical weight basis, while deals for a total of 40,000 mt of rebar were concluded at these price levels for early November shipment before ESI announced its new offers. It has become difficult for Turkish producers to compete in the UAE market, while import rebar demand for November will likely be weak.  
 
$1 = AED 3.67
$1 = QAR 3.64