Nippon Steel announced on Tuesday H-beam inventory held by members of Tokiwa-kai, which is group of distributors dealing Nippon Steel’s H-beam, increased by 4.3% to 218,800 tonnes at end of May from April, which was first increase in 6 months. The dealers’ slower shipment resulted in the higher stock while the makers’ supply was still low level. Nippon Steel sees the supply level gets normal from tight supply. The stock increased by 0.5% to total 111,300 tonnes in Tokyo, Osaka and Nagoya area at end May from April. The stock in the other areas increased by 8.6% to 107,500 tonnes. The dealers’ shipment dropped after speculative purchase with expectation for higher price until April. The actual demand is also slowing down when the developers and general contractors postpone the building plans for condominium and building due to surging price of steel products including H-beam. The H-beam supply balance could get easier even with the output reduction by makers.
Japan Steel Scrap Composite Prices (Sangyo Press)
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