Following the rises seen in steel producers' rebar prices in the United Arab Emirates (UAE) approximately three weeks ago in line with the upward movement of global raw material and finished steel quotations, it is observed that UAE-based traders also started to revise their rebar offers upwards. During the past three weeks, UAE-based traders have continued to raise their domestic rebar quotations amid the ongoing upward movement of the global steel markets and due to the lively demand for rebar in the UAE.
Meanwhile, buyers in the UAE have focused on concluding purchases from their domestic market as they consider import rebar offers - especially from Turkey - to be on the high side, with the order books of UAE-based producers benefitting from this situation. At the same time, local rebar traders have been receiving increased demand from UAE-based buyers, providing an opportunity for traders to gradually increase their domestic rebar offers. Accordingly, UAE-based traders have raised their rebar offers by AED 55/mt week on week to AED 1,570-1,590/mt ($428-433/mt) delivered to customer. Additionally, market sources state that traders in the UAE may raise their rebar quotations further in the coming days.
While Turkish rebar suppliers' offers to the export markets are still moving upwards due to the higher production costs caused by the ongoing rises recorded in scrap and billet prices, UAE-based buyers still consider Turkish rebar quotations to be on the high side and are not interested in rebar purchases from Turkey. As a result, Turkish producers are not giving new offers to the UAE.
$1 = AED 3.67