UAE’s Dana Steel resumes HDG production

United Arab Emirates-based Dana Steel resumed hot-dipped galvanized coil production at its Dubai facility in June, company chief executive officer Ankur Dana told Fastmarkets this week.

The company began producing HDG and pre-painted galvanized iron (PPGI) at the plant in 2019, but HDG production was halted because of the impact of the Covid-19 pandemic, Dana said.

The plant has the capacity to produce 250,000 tonnes per year of HDG and Aluzinc coil and 150,000 tpy of PPGI, which the company uses at its own steel service center. It also sells material to the local market, as well as exporting to other Gulf Co-operation Council countries, North America, Europe, and Africa.

The UAE imports HDG from China and India, with Chinese-made coil cheaper because it is not approved by the authorities in the Middle Eastern country.

Fastmarkets’ weekly price assessment for UAE HDG imports was $1,100-1,400 per tonne cfr on Tuesday June 29, widening downward from $1,220-1,400 per tonne on June 22.

Dana Steel is offering 1mm thick HDG at $1,295 per tonne ex-works for August delivery.

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