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The GCC beams market remains subdued amid seasonal weakness in demand, while shipping disruptions and higher freight costs are complicating imported supply.
Due to geopolitical tensions and disruptions to seaborne cargoes, GCC buyers are increasingly looking to local and regional supply to meet immediate requirements. Regional beam prices remain comparatively stable. UAE benchmark beams are assessed at around USD 750-760 per ton EXW, while Bahrain prices are also around USD 750-760 per ton EXW. Saudi beam prices are heard at around USD 10 per ton lower, according to market sources.
In the import segment, GCC buyers face high freight and vessel availability issues similar to those affecting other steel products. Typhoon-related disruptions have added to congestion at several Chinese ports, prompting some suppliers to consider alternative loading ports and increasing inland logistics costs. Some Chinese traders are also offering sections on an FOB basis as suppliers remain reluctant to take on vessel and delivery risks for Middle East shipments.
At the same time, vessel availability remains constrained by the wider regional shipping disruption, with the Strait of Hormuz situation, elevated security costs and port congestion continuing to affect vessel deployment and delivery schedules into the GCC.
Chinese JIS beams are currently indicated at around USD 600 per ton CFR Jeddah, according to market information. MESTEEL’s early August assessment puts Chinese angles at USD 570-580 per ton CFR Jebel Ali and Chinese JIS-size beams at USD 590-600 per ton CFR Jebel Ali, but prices are understood to have risen by around USD 5-10 per ton since then, amid improving market sentiment and higher freight rates.
UAE buyers are also receiving imported offers for delivery to Fujairah, according to market sources, although regional supply is being used to cover immediate requirements. This reflects continued interest in imported material where shipping can be arranged, alongside the need for more readily available regional supply.
European UB/UC beams are facing a separate freight-driven cost increase. MESTEEL’s August assessment is around USD 1,100 per ton CFR Jebel Ali, compared with USD 1,030-1,040 per ton previously, with the increase mainly reflecting higher freight costs.
For now, demand remains selective, while shipping disruptions are adding uncertainty to imported supply and making freight and delivery schedules difficult to assess, a GCC steel trader commented on the current market situation.