Posted on 25 Dec 2024
United Arab Emirates benchmark mill Emirates Steel (ESI), Emsteel’s steel division, has increased its January-rolling domestic 10-40mm straight rebar (BS4449:2005 grade GR500B) list prices by AED 50/tonne ($13.6) over December.
Values are now at AED 2,652/t ($722) ex-works, AED 2,657/t cpt Abu Dhabi, and AED 2,667/t cpt Dubai, Sharjah, and Northern Emirates, Kallanish learns.
Payment is against letter-of-credit (LC) 90 days and the firm charges a AED 92/t ($25) premium for 8mm diameter rebar over list prices. Rebar in coil is priced the same as rebar.
"Strong demand for reinforcing steel is expected to continue into the first quarter of 2025, driven by positive trends in the steel market and rising international scrap prices seen in December. As a result, the planned increase of AED 50/t in net prices will reflect the current supply and demand balance," an insider comments.
"Additionally, the UAE's sharp rise in property prices indicates increased construction demand, which impacts material costs, including steel. As property values rise, it's natural for the prices of essential materials to adjust accordingly," he adds.
Including Oman-based Jindal Shadeed, which supplies the UAE rebar market with 60,000-65,000 tonnes/month of rebar, local rebar suppliers are expected to announce their new rebar quotations this week. Jindal senior officials have given the impression to rebar distributors that the firm will follow in ESI’s footsteps.
Source:Kallanish
