After maintaining stable pricing for the past several months, UAE-based Emirates Steel Arkan (Emsteel) has implemented an increase in its rebar prices for June, reflecting the impact of higher production costs and the upward trend observed in regional steel markets. The latest increase has supported sentiment in the UAE retail rebar market and pushed domestic prices higher compared to May. Despite the price increase, demand fundamentals have remained relatively healthy, supported by ongoing construction activity and infrastructure projects, although market participants have reported a slower pace of purchasing. Apparent consumption in UAE in May is estimated at around 450,000 mt, down from the 500,000-550,000 mt range recorded previously. While demand is not expected to improve significantly in June, the overall outlook remains positive as project activity across the UAE continues at a steady pace.
For June production, Emsteel has increased its official rebar price by AED 100/mt compared to May, setting its new level at AED 2,817/mt ($767/mt) ex-works for 12-32 mm material. Other regional suppliers have also moved higher, with Qatar Steel currently offering rebar at around AED 2,800/mt CPT, up by approximately AED 156/mt from its previously announced AED 2,644/mt ex-works level, while Arabian Gulf Steel Industries (AGSI) is reported at AED 2,820/mt CPT, compared to its earlier AED 2,680/mt ex-works level.
In the retail market, prices have increased significantly compared to May, with the price gap between Emsteel and non-Emsteel material narrowing considerably as most suppliers have adjusted their offers closer to Emsteel's pricing. Emsteel-origin rebar is currently heard at AED 3,025-3,050/mt ($824-831/mt) CPT, up by AED 175-225/mt from AED 2,825-2,850/mt ex-warehouse reported in May. Meanwhile, non-Emsteel domestic material is reported at AED 3,000-3,025/mt ($817-824/mt) CPT, rising by approximately AED 290-325/mt from AED 2,700-2,710/mt ex-warehouse heard previously.
In the import segment, Saudi Arabian suppliers have remained largely absent from the UAE market as they continue to focus on their domestic sales. Omani suppliers, however, have maintained an active presence. Market sources indicate that Omani rebar sales reached approximately 130,000 mt during May, almost doubling from the roughly 70,000 mt reported previously. Offer levels for June have increased to around AED 2,800/mt ($763/mt) CPT, up by approximately AED 70-75/mt from the AED 2,725-2,730/mt CPT levels reported in May.
$1 = AED 3.67
$1 = OMR 0.3845
