Middle East

Recycled steel markets in the Middle East have showed diverging trends over the recent period. The UAE recorded a notable increase in recycled steel prices, largely supported by strong buying interest and export demand as well as active secondary raw material flows. In contrast, Saudi Arabia’s market remained relatively unchanged, with buyers focusing on selective restocking rather than aggressive price increases.

On the steel side, billet prices strengthened across the Gulf Cooperation Council (GCC), driven by tighter availability in key producing countries, including the UAE, Saudi Arabia, Bahrain and Oman. Maintenance shutdowns and slower production schedules reduced supply amid firm regional order books, lending support to both billet and recycled steel prices. Imported billet offers - particularly from Iran and Asian origins - also moved higher, reinforcing regional price momentum.

In Saudi Arabia, billet prices made modest gains while the rebar market displayed volatility. During November, some mills quoted above the leading producer’s benchmark prices, fuelling market speculation around possible price hikes. At the same time, Chinese steel producers have been adjusting export strategies towards Saudi Arabia, potentially influencing supply patterns and pricing dynamics in the Kingdom.

Regionally, crude steel production rose sharply in December by nearly 14% year on year to 5.3 million tonnes, supported by higher output in major producing countries such as Saudi Arabia, the UAE and Iran. Meanwhile, the direct reduced iron market remained tight across the GCC, with key suppliers in Bahrain and Qatar fully booked and largely absent from the spot market.

Looking ahead, market participants continue to monitor billet availability, recycled steel import policy developments in Saudi Arabia and export demand trends from the UAE, all of which are expected to play a critical role in shaping ferrous and steel pricing across the Middle East in the coming months.