Japan Major 6 Steel Wire, Rope Makers Posted Higher Sales in F2007

Japanese major 6 steel wire and rope makers posted higher sales for the year ending March 2008 from previous year. They enjoyed firm demand for automobile, industrial and construction machinery along with higher selling price. Despite of the higher cost, the 5 makers posted higher recurring profit. The demand for oil tempered wire and spring wire lifting the sales and proift of the makers in the year ending March 2008. Sancall Corporation posted record sales and net profit. The demand of prestressed wire was firm for private construction applications. However, the wire makers’ results were mixed depending on the order for major construction projects. The makers posted higher sales due to higher selling price despite of the lower sales volume for carbon steel products, which were used mainly for building and civil works with slower activity.Stainless steel wire experienced major up and down in the year ending March 2008 with higher nickel price in first half and major drop in second half. Wire rope demand was firm for construction and industrial machinery and elevator. The makers expect the wire rod supply gets tighter and the material’ price increases in the year ending March 2009. The makers try to pass the higher cost price on the selling price. With the higher price, the 6 makers expect higher sales while 3 makers forecast lower recurring profit. Their profitability depends on realized price level for the year ending March 2009.