Japan Rebar, Billet Export Price Drops Again

Japanese export price of concrete reinforcing steel bar and billet decreases again while Japanese makers got export order from South Korea after the price drop in and after financial crisis. The price is likely to decrease more when the demand keeps decreasing worldwide.

The rebar export price decreased to around FOB US$ 435 per tonne after the price rebounded to US$ 450 for South Korean buyers for December shipment while the buyers bid was less than US$ 400 earlier.

Japanese rebar’s major destination of USA market experiences major slump in steel demand due to financial squeeze and lower industrial activity. US buyers in west coast, where rebar consumption is annual 2.5 million tonnes, apparently keep reducing the inventory when the rebar inventory is reportedly around 4 months of consumption or around 800,000 tonnes.

Japanese billet export transaction is also slow. South Korean buyers have billet overstock in coastal areas and some importers export the high priced billet to third countries for liquidity. Hyundai Steel of South Korea tries to expand billet export getting the orders at C&F US$ 370 per tonne to China and Vietnam. Asian buyers are reluctant to buy high priced Japanese billet when cheaper import is available.