Rebar Market Price Keeps Strong around Tokyo

The market price of reinforcing steel bar is strong at around 60,000 yen per tonne for base sized products with 19 millimeters diameter in Tokyo. Rebar production in the region is expected to decrease by 50,000-60,000 tonnes to around 900,000 tonnes in October-December from July-September. General contractors are unwilling to accept price hike by makers and wholesalers. New order acceptance is being less. Rebar makers should operate their production carefully entering non-demand season.Rebar maker official said the firm could not advance price hike well than expected. Electric furnace steel makers raised their selling price by 2,000 yen per tonne in October. However, the hike is achieved by only 1,000 yen per tonne so far. Distributor source said the full hike would take more time with strong opposition by general contractors.Electric furnace source said ferrous scrap market price keeps high level at around 30,000 yen per tonne in Tokyo when makers’ production volume is much increasing. The makers are likely to decrease their production much for non-demand season.