Following the rebar import duty of 6.38 percent imposed by the Egyptian government in November 2012, Turkey's rebar exports to Egypt have almost ground to a standstill. In December last year, Turkey exported only 4,972 mt of rebar to Egypt, indicating a decrease of 52.5 percent compared to the previous month and a 93 percent fall year on year, according to the data provided by the Turkish Statistical Institute (TUIK).
Tarek Abd El Azeem, chairman of Egypt-based importer Al Madena Al Monwara Co., has told SteelOrbis that he has applied to Egypt's administrative court for the revocation of the rebar import duty, adding that the court has accepted the application and set a date for the hearing. The court is expected to deliver its verdict on April 6, 2013.
On the other hand, Kamal Beshay, CEO of Beshay Steel, one of the largest steel producers in Egypt, has informed SteelOrbis that there is an investigation going on in line with international trade laws to decide if the temporary measure will become permanent.
As SteelOrbis previously announced, the Egyptian government decided to impose a temporary import duty of 6.8 percent on rebar, upon requests from local steel producers, to protect the domestic industry. The import duty was expected to remain in force for almost seven months and would be at a minimum of EGP 299/mt ($44/mt).
Before the duty came into force in November, Egyptian rebar mills' prices were in the range of EGP 4,025-4,080/mt ex-works, while Egypt-based rebar producers increased their prices by EGP 130-165/mt following the duty imposition. The February rebar prices of the Egyptian mills stand at EGP 4,851-4,950/mt ($720-734/mt) ex-works.
