Weak H-Beam Price in Tokyo

H-beam market price is weak at around 125,000 yen per tonne for base size with 200 by 100 millimeters width around Tokyo. Many dealers anticipate fall the market price when Tokyo Steel Manufacturing decreased the selling price by 35,000 yen per tonne. Some dealers are selling cheaper than market price for the reduction of the inventory.

Dealers’ inventory is slightly decreasing over the last month. Arrived products volume of dealers is reducing by about 5% by makers’ output reduction or dealers’ inventory adjustment.

Tokyo Steel Manufacturing and Yamato Steel, Japanese major H-beam makers reduced the selling price by 35,000 yen per tonne due to decreased purchase price of ferrous scrap. Dealers are confused the price gap between both maker and Japanese integrated steel makers more widen.

Dealers can’t get the profit due to decreased market price and increased inventory cost. The market price is expected to more decrease when ferrous scrap price keeps drop.