Posted on 22 Oct 2025
Hot rolled coil prices in the Gulf Cooperation Council are under pressure amid an influx of VAT-evading Chinese trader offers, Kallanish notes.
This week, Chinese trading companies’ initial ex-China offers for tier-two mills’ material were heard at $485/tonne for A36/SS400/S235JR grades and $490/t for Q195. Prices from tier-one Chinese mills are at typically $5-10/t higher, though sellers indicate room for negotiation against firm bids for December loading.
Prices are cfr Dammam, Jebel Ali, or Abu Dhabi ports basis, unless otherwise stated.
From India, re-rolling grade (2mm SAE1006) offers remained unchanged at $515/t for November loading, owing to the Diwali holidays. The top-tier Chinese mill's HRC price stood at $523-525/t for December loading, the Taiwanese supplier's official price is around $512/t for late-December shipment, while Japanese mills such as Nippon Steel and JFE are targeting $520/t for January loading.
In addition, ex-China 1.2mm SPHT-1 material from an ESP line was quoted at $545/t, matching the base price from the regular line at $525/t. However, market participants expect a $5-10/t downward adjustment this week, as Chinese suppliers respond to softer demand and limited buying interest.
“The latest deals by re-rollers were closed between $505-510/t with the major Japanese mill for December shipment,” a regional trader says, adding that top-tier Chinese suppliers are likely to trim offers to stay competitive.
An industry participant remarks: “Ex-China non-VAT offers have begun to appear in the market intensively. Emirates Steel, a member of the UAE Steel Producers Committee, has initiated an anti-dumping investigation into Chinese heavy sections. I wonder when UAE flats re-rollers will follow with a similar case.”
Source:Kallanish
