Godo Steel will increase the selling price by 5,000 yen per tonne for carbon steel wire rod, bar in coil and deformed bar in coil for October order. The firm tries to improve the profitability through the fourth hike after January, April and July orders. The firm said the cost increases for raw materials, energy and freight and the firm cannot cover the higher cost despite of the cost cutting effort. The firm decided the hike to improve the profitability to the level enough to reproduction. The firm keeps cutting some of order from buyers when the firm expects the ferrous scrap and other steel source supply gets tighter. The firm tries to adjust the supply volume depending on the market condition. The firm already started the intention for the hike to the buyers including processors and distributors. The competitor wire rod makers could follow the move to cover higher cost.
Japan Steel Scrap Composite Prices (Sangyo Press)
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