After Dubai, Saudi sun now rises over Middle East rebar market

摘要

In the Middle East region. Saudi Arabia in recent years had been an exporter of rebar not only to Dubai but also to other neighboring countries as well. However, with the local demand in Saudi Arabia increasing and now having a greater impact on the domestic supply-demand balance, the country has become an importer of rebar. For this reason, the country's Ministry of Commerce and Industry has sent notification to rebar and scrap exporters to halt exports until further notice. The latest rebar deals from Turkey to Dubai have been concluded at 1,470 dollars/mt CFR/mt for September shipment. Imported rebar prices in the locai Dubai market are in the range of AED 5.500-5.600/mt (1,497 dollars-1,525 dollars/mt). Given that the new deals have increased by 70 dollars/mt on a CFR basis since last week, these imported rebar prices in Dubai are expected to rise as of next week. End-users in this market generally buy with three-to-four month deferred payment: however, it is also currently possible to see price leveis for cash payment in the Dubai market which are lower by AED 100-150/mt (27-41 dollars/mt) than the above price range for end-users. It is heard that the Turkish producers will likely push for price levels of 1,500 dollars/mt CFR and above on a theoretical weight basis as of next week. and. with the continuously increasing demand, it is expected that these offers will likely be accepted.