Nippon Steel to Raise H-Beam Price in March

Nippon Steel Corporation announced on Tuesday the firm raises the selling price of H-beam for distributors by 3,000 yen per tonne or about 4% effective from March contracts. The firm announced the hike when the material costs are increasing and H-beam market prices are strong both in domestic market and at overseas. Nippon Steel raises H-beam selling price for the first time since the firm raised the price by 2,000 yen per tonne in September 2006. The firm also raises the selling price for large contract users by 3,000 yen per tonne.

H-beam price continues increasing at offshore markets with higher material costs mainly for ferrous scrap. Japanese domestic price also keeps increasing to reflect the price hike by domestic electric furnace steel makers after higher ferrous scrap costs.

Nippon Steel source indicated H-beam makers recently seemed to raise their selling prices to reflect higher material costs rather than demand conditions. Japanese other major H-beam makers, Tokyo Steel Manufacturing, Sumikin Steel and JFE Steel, already raised their H-beam selling prices.