In the UAE rebar market, Emirates Steel announced its price policy for February. The company decided to maintain the price range announced in January, following a strategy in line with the strong dynamics of the local market. Accordingly, rebar prices for February deliveries will be AED 2,480-2,500/ton (USD 675-680/ton). In addition, a surcharge of AED 92 (USD 25) per tonne will be applied for 8 mm rebar.
Emirates Steel's decision is believed to send a message to market players that strong demand continues. In the first three weeks of the year, rebar demand remained strong and market activity increased. This is in line with the positive expectations for the upcoming period and ongoing construction projects. A source close to the company expressed confidence that demand will remain high through the first quarter of 2025, which will support prices.
The UAE rebar sector is performing positively overall. Current consumption is estimated at around 390,000 tons. However, second-tier producers are struggling to maintain their market share. Recent purchases are reported to be in the range of AED2,270-2,300/ton (USD618-626/ton) under 90-day letters of credit. However, some producers are said to be developing customized solutions by offering lower prices in an attempt to secure orders.
Prices are quoted excluding 5% VAT. Exchange rate: 1 USD = 3.673 AED.
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