Nippon Steel announced on Tuesday H-beam inventory held by domestic wholesalers dealing Nippon Steel’s products increased by 2.4% to 276,500 tonnes at the end of March from month ago, which represented month-to-month increase for 3 months in a row. The inventory increased by 3% in 3 areas, Tokyo, Osaka and Nagoya.Nippon Steel analyzed the market inventory increased when makers’ shipment expanded at the end of Japanese fiscal year in March while the demand did not increase largely. The firm will keep the selling price in April order. The firm will reduce order acceptance volume from dealers by 20-30% for April contracts compared with October 2006 to decrease the market inventory.H-beam demand keeps steady, though dealers’ shipment is temporarily slow due to seasonal reasons and delay of building constructions. Nippon Steel continues output reduction for distributors since November 2006.The market price is not strong with low shipment. However, H-beam makers, such as electric furnace steel makers, may raise their selling prices due to higher ferrous scrap costs and international long products prices.
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Japan Steel Scrap Composite Prices (Sangyo Press)
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