Weakened H-Beam Market in Tokyo

H-beam market price is flat at 80,000 yen per tonne for standard size with 200 by 100 millimeters width without freight around Tokyo. Some distributors started to see sign of weakness after 2-month long flat market. Some distributors started to reduce the price to less than 80,000 yen. The very slow demand for building applications cools the market. The dealers’ shipment was 24,700 tonnes in Tokyo in October, according to Tokiwa-kai, which is group of distributors dealing Nippon Steel’s materials. The shipment was still 21.3% lower than a year earlier level despite of the 4.6% up from September. The dealers’ inventory increased by 7.4% to 71,105 tonnes at end of October from September, which was the highest level since April 2006. The dealers tried to pass higher cost price on the market after makers’ hike in July and August. However, the dealers couldn’t increase the reselling price under very slow market. Nippon Steel reduces the order from distributors for November order compared with normal level.