Weak Angle, Channel Price in Tokyo

Equal angle steel market price is 100,000 yen per tonne for product with 6 millimeters thick and 50 mm width and channel price is 105,000 yen for product with 5 mm thick, 50 by 100 mm width at the dealers’ site around Tokyo. The price is likely to decrease more when the makers reduced the selling price by 10,000 yen additionally and some dealers already sell at 97,000 yen for angle.

The dealers’ inventory keeps the level as November. The delivery from the makers decreases due to lower order submit from the dealers and order receipt rejection by the makers while the dealers’ shipment decreases. The oversupply burdens the market and the inventory adjustment could take more time beyond the yearend.

The buyers lead the pricing under slower demand. Some of the dealers try to secure certain sales volume by reducing the reselling price by around 5,000 yen per tonne for large lot orders. The buyers still wait the lower price with minimum procurement when ferrous scrap market price drop is much wider despite of the recent rebound.