Firm Rebar Price in Tokyo

Concrete reinforcing steel bar market price is 70,000 yen per tonne for base size with 19 millimeters diameter around Tokyo. The transaction increases after mid-August holiday. The market is likely to keep firm when the supply is expected to get tighter with more purchase for major building projects after summer. The local output is likely to decrease to around 280,000 tonnes in August from 300,000 tonnes in July due to maintenance outage. The supply is balanced to seasonal slower demand. The output is expected to be 340,000 tonnes in September with higher demand. However, the supply could get tighter when the demand increases for major building projects in the demand season of October-December. The makers’ average shipping price is still 62,000-63,000 yen per tonne for base size while the ferrous scrap price keeps more than 35,000 yen for H2 grade. They try to improve the profitability through additional hike when the scrap price could reach 40,000 yen in September.