It is observed that demand in the local United Arab Emirates (UAE) market has remained at low levels during the past week. Market sources state that UAE-based buyers’ rebar inventories are on the high side, and so they are putting downward pressure on domestic rebar prices. Despite higher production costs in line with the rises seen in global scrap quotations, UAE-based producers have reportedly kept their domestic rebar prices stable week on week by accepting decreases in their profit margins.
Additionally, SteelOrbis has been informed that Omani rebar export offers to the UAE are currently at AED 1,995-2,020/mt ($544-550/mt) FOB. Accordingly UAE-based traders have reduced their domestic rebar prices by an average of AED 90/mt week on week to AED 2,080-2,100/mt ($567-572/mt) delivered to customer, excluding five percent VAT, in order to be able to compete with Omani exporters.
$1 = AED 3.67