- Domestic market cautious despite rebar price increase
- Weak export demand, Diwali slowdown weigh on trade
BigMint’s UAE domestic processed HMS index rose AED 4/t ($1/t) w-o-w to AED 1,190/t ($324/t). Domestic scrap prices remained largely stable during the Diwali holiday slowdown, trading within AED 1,185-1,195/t ($323-325/t), amid weak export demand and muted local buying. Traders adopted a wait-and-watch stance, expecting clearer signals from mills, while the domestic market remained cautious despite rebar price hikes.
An Abu Dhabi-based trader said, “Processed HMS is at AED 1,190-1,200/t ($324-327/t), shredded at AED 1,240-1,250/t ($338-341/t), and PNS at AED 1,210-1,220/t ($330-334/t).”
A major scrap collector added, “Weak export activity continues to weigh on domestic scrap prices, though a positive trend is expected following Emirates Steel’s rebar price revision.”
Domestic prices were heard as follows:
- HMS (processed): AED 1,180-1,190/t ($321-324/t)
- Shredded: AED 1,230-1,240/t ($335-338/t)
- PNS: AED 1,200-1,210/t ($327-330/t)
- LMS: AED 920-950/t ($250-259/t)
Rebar market
Emirates Steel Industries (ESI), a wholly owned subsidiary of EMsteel, raised its domestic list price for 10-32 mm rebars by AED 58/t ($16/t) from October levels, bringing the new ex-works price to AED 2,648/t ($720/t), payable via a 90-day letter of credit.
Market insiders noted, “The hike is supported by the UAE government’s extension of a 10% import duty on select steel products until October 2026, aimed at curbing cheap imports and protecting domestic producers amid recovering demand.”
Saudi Arabia’s Hadeed also increased rebar tags by SAR 25/t ($7/t) while keeping rolled-over coil prices unchanged for November.
Outlook
UAE domestic scrap prices are likely to see mild upward support following Emirates Steel’s rebar price revision, though overall activity may remain muted amid weak export demand. Traders and buyers are expected to stay cautious, with selective purchases for processed HMS, shredded, and PNS grades. Market participants are also waiting for clearer pricing signals from mills.
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