Firm Cold Finished Bar Price in Tokyo

Cold finished bar market price is firm at 140,000 yen per tonne for product with 16 millimeters diameter and at 145,000 yen for product with 50 mm diameter around Tokyo. Domestic electric furnace steel makers already increased the selling price to cover higher ferrous scrap cost and to improve the profitability enough to reproducible level. However, the distributors’ market price could take more time to improve when the dealers’ shipment decreases by around 20% since April from a year earlier and the makers cannot increase the contract price for automakers and other contract users. The distributors’ market is firm and could increase when domestic integrated steel makers try to increase the wire rod price to cold finishing makers. The industry interests expect the market price could increase in the month when the dealers started to accept higher price by cold finishing makers. Osaka based major cold finishing maker, Sanyu Co., Ltd. increases the selling price effective on June 21 shipment. The higher cost price could reflect to the market from late June to July even around Tokyo.