JFE Steel decided to raise the selling price of gas pipe, electric resistance welded steel pipe and seamless pipe for domestic users from the shipping in April 2008. The firm increases by 15-20% for all users which is dealer and specific users. The firm increased the selling price for UOE pipe by 10% for the contract in November 2007.The firm prospects material price and transport cost increase by a large margin. Moreover, steel supply and demand keeps tight in whole world. The firm said the firm had been made effort for cost reduction, but the firm must raise the selling price for the secure of the profit and the purchasing of the material. The firm requests the price hike for stable supply to users.The firm already announced the price hike to some users. The firm forecasts the supply and demand would become decent when the adjustment of the supply and demand is expected to finish at the ended of March 2008. The firm had been reduced the output for gas pipe.Makers and Dealers’ sales volume decreased by a large margin after August 2007 due to the revision of Japanese building standard law or between season of the demand for plant. Their inventory was increased.Consequently, the firm reduced the acceptance order by 20% in July-September 2007, which reduced by 20% in October-December 2007. The firm keeps the reduction in January-March 2008.
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Japan Steel Scrap Composite Prices (Sangyo Press)
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