Japan Electric Furnaces to Raise Construction Steel Prices

Japanese electric furnace steel makers try to increase construction steel selling price after Tokyo Steel Manufacturing announced full scale price hike on Tuesday. Kyoei Steel announced on Wednesday the firm increases the concrete reinforcing steel bar selling price by 2,000 yen per tonne at all plants in Osaka, Yamaguchi and Nagoya for October shipment. JFE Bars & Shapes announced on Wednesday the firm increases the selling price of angle and channel by 5,000 yen for October shipment.

Kyoei Steel tries to realize sustainable price level under higher ferrous scrap cost. The firm eyes additional price hike in and after November depending on market condition including scrap cost. The firm also adjusts the production level to meet the slow demand.

JFE Bars & Shapes decided the first price hike in 7 months to cover higher scrap cost. The firm sees the market condition is improving after the very slow market caused by the major earthquake. The firm also continues cautious production to avoid oversupply market.