News Room - Steel Industry

Posted on 13 Jun 2024

GCC buyers float billet enquiries

Billet enquiries are floated in the United Arab Emirates and Oman this week. Due to increased electricity tariffs in Oman between 1 p.m. and 5 p.m., local producers cut production but kept prices flat, Kallanish observes.

In Oman, one re-roller placed an enquiry for 10,000 tonnes of 3sp modified billets for July delivery. In the UAE, re-rollers issued enquiries for over 30,000 tonnes.

In UAE, a small package (2,000t) of induction furnace route rebar grade billet was sold this week at $535/t delivered for immediate delivery. Ex-Oman offers were heard at $540/t landed to the buyer's yard for July delivery.

Ex-Iran billet offers are being heard at $498-505/t cfr (liner out) GCC ports (Qatar, Kuwait, Oman, UAE) for July delivery. Last week, three separate deals struck in Iran destined for GCC market for a total of 72,000t at $480-482/t fob for July-mid and August deliveries, according to sources. Far East origin (Indonesia, Malaysia) 3sp and 3sp modified billet offers are at $525-530/t cfr (liner out) Jebel Ali for July shipment  

The major scrap consumers in the UAE are attempting to lower their purchase prices as a result of reduced exports to India and muted demand in Pakistan. Local scrap quotes this week are at AED 1,250-1,270/tonne ($340-346) for HMS 1/2 80:20, AED 1,310/t for HMS 1 90:10 - so called Super HMS, AED 1,280-1,300/t for fabrication and AED 1,375-1,400/t for rebar end-cut.

Source:Kallanish