Japan Rebar Export Price Rises by 8.4%

Japanese concrete reinforcing steel bar export price keeps increasing. The price increased by 8.4% or 5,200 yen to FOB 65,200 yen per tonne for USA for May shipment from April. US buyers shift to Japanese materials with firm demand for housing and civil works and lower import from major supplier of Turkey. Japanese rebar export price increased by 25.4% or 13,000 yen from FOB 52,000 yen in late 2006. Rebar market price keeps high level of around 80,000 yen per tonne delivered to users in US west coast. US private building demand keeps firm while import from Turkey decreased to monthly 20,000 tonnes level recently from 50,000 tonnes before. With the lower import, the supply gets tighter. US rebar import from Turkey and Europe usually impacts on east coast. However, the import impacts on west coast as well under lower supply. Japanese rebar export price to USA increased from FOB 60,000 yen per tonne for April shipment. Taiwanese rebar export price, which is around US$ 10 lower than Japanese price, also increases gradually. World rebar market accelerates the strong tone. Electric furnace steel makers around Tokyo increased the selling price to 68,000 yen per tonne for base size with 19 millimeters thick in April. However, their shipping price is still less than 60,000 yen and lower than export price. The makers could increase the selling price more toward 70,000 yen under higher ferrous scrap market.