Mills in Saudi Arabia have decreased their wire rod prices, which will further discourage imports from Egypt, Kallanish notes.

Al Ittefaq has set its delivered wire rod price at SAR 2,370/tonne ($632) on LC 60 days, while Solb in Jazan on the west coast has dropped to SAR 2,410/t delivered to Riyadh, partly on a prepayment basis. The decrease follows Hadeed's September-delivery wire rod price cut – announced in mid-August – to SAR 2,535/t for the first 50% of the monthly quota and SAR 2,335/t for volumes above 50% of the quota.

Hadeed's August sample deliveries of high-carbon wire rod to potential buyers for testing received positive feedback from some, and there are indications that commercial supply may begin in October, along with prices being issued. This may affect Chinese exports of high-carbon wire rod to Saudi Arabia.

Rebar producers in Dammam decreased their quotes to SAR 2,190/t ex-works from SAR 2,210/t a week ago. In Riyadh, they kept mostly stable at SAR 2,150-2,180/t ex-works on cash as the low end represents high-volume deals. 

The benchmark mill's rebar in the wholesale market – between traders – transacted at around SAR 2,300-2,310/t ex-works or delivered in close proximity. Its retail prices are at SAR 2,340-2,350/t delivered. Both are against cash payment.