NSSC to Raise Stainless Wire by 155,000 yen/t

Nippon Steel & Sumikin Stainless Steel (NSSC) announced on Thursday the firm raises the selling price of stainless steel wire rod by 155,000 yen per tonne for nickel series products and by 20,000 yen for chrome series effective for June contracts. NSSC raises the prices due to the upsurge of nickel metal price and tight supply of chrome series products. The firm has hiked nickel series products 5 times by total 450,000 yen per tonne since contracts in June 2006 and chrome series products 3 times by total 40,000 yen since contracts in September 2006.NSSC reviews its selling price of nickel series stainless wire rod every 3 months to reflect material price fluctuation. The firm revises June contract price in reflection of averaged nickel price at London Metal Exchange and foreign exchange rate of yen for March 22-May 21.The 3-month average of LME nickel price was US$ 16.86 per pound in last revision and is about US$ 22.6 this time. NSSC passes increasing material costs on the selling price. The firm’s business department said the firm adopts alloy link price system and will maintain the system. However, he said the firm examines how long range to review LME nickel price by 3 months or not.As for chrome series products, the firm will raise the selling price due to the upsurge of ferrochrome price and the tight supply of chrome series products due to the demand substitution from nickel series products.