Concrete reinforcing steel bar market price may rise to 70,000 yen per tonne toward summer season around Tokyo. The market price currently keeps flat at 68,000 yen per tonne for base size with 19 millimeters diameter. The price is expected to exceed 70,000 yen per tonne for the first time since 1979 when local electric furnace steel makers plan the output reduction by double compared with last summer. The sales negotiation is slower recently. In summer when the supply becomes tight, rebar dealers will strengthen their selling stances.Sales negotiation between general contractors and rebar dealers decreased currently because the contractors put off the orders before the revision of Japanese building standards low. The market price became weak. Dealer source said rebar reselling price could not reach 70,000 yen per tonne.However, local rebar makers announced long-term intermission of their electric furnaces for this summer and make a pause for average 2-3 weeks or double as long as last summer. Market dealers started to offer the higher reselling price against general contractors with expectation for the delivery delay in summer.Local rebar supply is expected to become much tighter this summer when many large building objects are ordered. Rebar production in Tokyo is commonly 320,000-330,000 tonnes per month and seems to decrease by 50,000-60,000 tonnes this summer.
Japan Steel Scrap Composite Prices (Sangyo Press)
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