Weak Rebar Price in Tokyo

Concrete reinforcing steel bar market price is weak at around 76,000 yen per tonne for direct shipment transaction from makers to users around Tokyo. The buyers increase the pressure for lower price while the makers try to keep the price level. The price is mixed depending on the transactions and conditions but the price moves to lower level.

The makers around Tokyo get low level order receipt as January. They reduce the order backlog with less new order while the shipment is also same low as January. The makers try to improve the supply balance by reducing the operation to around 50%.

Some market interests expect the price would hit bottom soon. However, the buyers expect lower price holding the orders with minimum procurement. Most of the dealers also try to wait lower price by postponing order receipt from the buyers.

The makers try to keep the price as long as possible when the lower operation rate increases the production cost. However, the buyers seek lower price when Tokyo Steel Manufacturing offers 57,000 yen per tonne. The market price could decrease toward 70,000 yen level for the fist target range.