The Lebanese rebar market is squeezed by the war in Gaza and the possibility of an escalation of the war in the wider region. As a result, a few UAE-based conglomerates have even said they may consider withdrawing their investments in Lebanon. This further contributes to the unclear financial and economic situation in the country. Following the recent hikes in import scrap prices, Turkish mills find it difficult to offer at competitive levels also due to the import tax, and so material from Egypt and Saudi Arabia is common in the market.
Currently, ex-Turkey rebar offers are standing at $610-630/mt FOB, versus $540-550/mt FOB a month ago, while wire rod offers are at $640/mt FOB, versus $560-570/mt FOB, which seem high under the current market conditions. "Freight is mostly stable at $15-20/mt from Turkey to Lebanon, though it may soften due to the lack of trading activity," one source mentioned. Longs offers from Egypt are at $600-620/mt FOB for both rebar and wire rod with some minor discounts possible, while freight is estimated at around $15-18/mt. Ex-Egypt longs offers have risen by at least $30/mt over the past month. Ex-Saudi Arabia offers are not quite clear, but are estimated by market players at around $580-590/mt FOB with close to $25-30/mt freight. Russian rebar and wire rod have been on offer at $550/mt and $560/mt FOB, respectively, with freight estimated to Lebanon at $35-40/mt.
Local rebar prices are at $620-680/mt CPT, versus $640-670/mt CPT a month ago. The lower end is for Egyptian origin, while the higher end is for Saudi material. Moreover, local wire rod prices at are around $700/mt CPT, again for Saudi material, versus $660-685/mt CPT a month earlier.
All local prices include 11 percent VAT.