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FINANCIAL NEWS
Saudi Arabia removes import duty on steel rebar
13 Apr 2010
(MENAFN) A spokesman for the Saudi Ministry of Trade and Industry said that the government has decided to lift the import duty on steel rebar to ease a shortage in the Kingdom as prices rise for rebar feedstock, Reuters reported.
The removal of import duty reverses a 5 per cent tariff the Saudi government imposed in January and comes after the price of steel billet in the Black Sea rose.
Rising prices for billet have pushed rebar prices in the Gulf to around $800 per tonne from $550 earlier this year, traders said.
Top oil exporter Saudi Arabia is spending billions of dollars on infrastructure as it looks to diversify the economy. State spending has provided a buffer against the global economic downturn.
Last year, the ministry lifted an export ban on local producers when it deemed supply was sufficient to meet domestic demand. The spokesman declined to comment on whether the export ban would be reintroduced.
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