Weak Rebar Price in Tokyo

Concrete reinforcing steel bar market price is weak at 76,000 yen per tonne for base size at direct shipment transaction from makers to users around Tokyo. The price range is wide due to more than 5,000 yen of price gap between makers. The price is likely to decrease more due to decreasing ferrous scrap price and pressure from buyers.

Rebar makers’ order receipt is slightly increasing from January while the buyers still minimize the purchase volume. The makers’ shipment is as low as January while the makers’ order backlog is 1.5-2 months.

The demand decreases when building plans are canceled and postponed. Some building is slowed due to solvency of the owners. The building activity is expected to decrease in and after April than expected.

Tokyo Steel Manufacturing’s price is the indication for the transaction while rebar makers around Tokyo don’t disclose the price level. The buyers pressure on lower price by minimizing the purchase volume.