Weak Colored Galvanizing Steel Price in Tokyo

Colored galvanizing flat steel market price is weak at around 260,000 yen per tonne for small coil with 0.35 millimeters thick and 914 m width and at around 234,000 yen for large coil. The price is decreasing due to slow demand. The buyers increase the pressure for lower price while the dealers try to keep the price level until hot coil price decreases despite of overstock condition. The price could decrease more due to slower demand and high inventory position.

The colored galvanizing steel makers try to keep the price level when hot coil price is uncertain. Some makers hope lower hot coil price but the integrated steel makers show no sign to reduce the price when they are still in negotiation for iron ore and coking coal annual price.

Some dealers liquidate the inventory at lower price. Some industry observers said the dealers’ financial position is the point if they could post major inventory valuation loss under decreasing market price.