Riyadh-Mubasher: Saudi steel companies study to raise rebar prices by up to 10% in the next two weeks, said Shuail Al-Ayed, chairman of the National Committee for Steel Industry at the Council of Saudi Chambers.
He added that the move is due to the rise in production cost by 20% and weak sales, as well as the increase in energy and transport prices by 50%, Al-Madina newspaper reported.
Al-Ayed said some companies halted some production lines in order not to raise stockpile which reaches nearly 1 million tonnes per annum (tpa).
"The annual production exceeds 11 million tonnes, while the local market needs around 10 million tpa," the official said, estimating the sector's investments at around SAR 30 billion.
