Nippon Steel announced on Wednesday the firm increases the selling price of plate steel by 3,000 yen per tonne for distributors for October order. The firm reduces the order receipt by 20% from July-September period to serve manufacturers. The firm decided the first hike in 2 and half year under the tight supply and higher international market. The firm still tries to find the chance for additional hike to fill the gap with international market price. The firm increased the price by total 30,000 yen per tonne through hikes for 5 consecutive quarters from April-June 2004. The firm tries to pass higher cost for raw materials through the additional hike when POSCO of South Korea and Baoshan Iron and Steel of China increased selling price for the domestic market. The firm expects the plate demand keeps firm both for domestic and offshore market for years. The shipbuilding demand increases by 10% for fiscal 2007 started April and is expected to increase more. The construction machinery demand also increases for developing countries due to higher investment for infrastructure and mining.
Japan Steel Scrap Composite Prices (Sangyo Press)
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