Concrete reinforcing steel bar market price should reach 100,000 yen per tonne around Tokyo for the first time since 1974. The price exceeded 90,000 yen in all areas in Japan in the month when the makers increase the selling price to cover higher raw materials cost. They continue to improve the selling price to regain profitability from current loss making operation when ferrous scrap price increases. Rebar market price is likely to increase more. Rebar price around Tokyo is 92,000 yen per tonne for base size with 19 millimeters diameter while the distributors’ selling price from the inventory is around 95,000 yen. The market price increase is slower than other areas when the makers keep order backlog more than makers in other areas. However, the makers around Tokyo rush to increase the price hike when they lose money with higher ferrous scrap cost. With the aggressive hike, the dealers increase the reselling price increasing by more than 20,000 yen from beginning of the year. The market price is 93,000 yen per tonne around Osaka while the dealers’ selling price from the inventory is 95,000 yen, which is 20,000 yen higher than the beginning of the year. The demand is slow without advance purchase of the buyers. However, the dealers offer more than 100,000 yen with pressure from the makers. The makers expect the scrap price could reach 60,000 yen per tonne in and after April. The market price could reach 110,000 yen. The higher raw materials cost could lift the market price.
Japan Steel Scrap Composite Prices (Sangyo Press)
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