Flat Colored Galvanizing Steel Price in Tokyo

Colored galvanizing flat steel market price is flat at 225,000 yen per tonne for small coil and at 204,000 yen for large coil with 0.35 millimeters thick around Tokyo. The makers try to increase the selling price by 10,000 yen but the dealers cannot accept the higher cost price when the dealers’ shipment decreases by 20-30% compared with last year level. The dealers see the makers’ hike cannot be accepted by the slump market despite of cost pressure by higher hot rolled coil price. The market expects building demand could recover in early 2008. The price hike effort could take time along with recover of the dealers’ shipment. The makers argue the price hike is necessary to cover higher cost for hot coil. However, their operation rate is around 70% under 20-30% lower demand. The makers try to seek higher price even through long run negotiation. They expect the market could accept the higher price for February order when they make business plan for fiscal 2008 starting April.