Following the break for the Eid holiday, the domestic HRC market in the UAE has resumed activities, though sluggishly, leaving Emirati purchasers cautious about restocking hot rolled coil (HRC). As a consequence of the lack of demand, HRC offers from Chinese and Indian suppliers have fallen, which may influence UAE-based buyers' decisions in the coming weeks.
Over the past week, Chinese suppliers' SS400 HRC offers to the UAE have dropped by $5-10/mt week on week to $550-565/mt CFR for August shipment. Though difficult in the current conditions, some Chinese suppliers have attempted to sell to the UAE at the old level of $570/mt CFR after lower offers were spotted in the market.
Meanwhile, though most Indian suppliers are still not offering to the UAE due to weak trade, market sources estimate current HRC offers from India to the GCC at $570-590/mt CFR.
On the other hand, Japanese suppliers, who had sold lots to the UAE at $570-575/mt CFR in recent weeks, are not making aggressive offers to the GCC right now, instead submitting offers at $550/mt FOB.