Steel Pipe Dealers to Raise Reselling Price by 10% in September in Tokyo

Steel pipe dealers will raise their reselling prices for galvanized products manufactured by integrated steel makers by 10% on and after September 1 in Tokyo after the integrated steels raised their selling prices. The dealers also aim to pass makers’ another hike on their reselling prices by 5,000 yen per tonne.Zinc price keeps the up trend since April 2003 and especially soaring up after autumn 2005. The higher zinc price has impacted profitability of steel pipe makers. JFE Steel announced the price hike for galvanized plumbing steel pipe by 10% for July contract and September shipment in order to pass higher zinc cost on the selling price. Other makers are also expected to raise their selling prices.The dealers in Tokyo area aim to raise the reselling prices on September 1 following the hike by the makers. They are already starting announcement of the hike to their consumers.