Asian Rebar Market Price in Rebound along Ferrous Scrap Price Recovery

Asian reinforcing steel bar market price continued to rise when ferrous scrap price is surging. The market price rebounded by 365 yuan (approximately 4,600 yen) per tonne in China and by 1,300 Taiwan dollars (3,500 yen) per tonne in Taiwan from the recent bottom. Japanese rebar export maintains slow but latest billet export contract price upped by US$ 40 per tonne. The market price is expected to keep upward for a while along ferrous scrap price.

Chinese rebar market price declined to 3,600 yuan per tonne in Shanghai in early July while recently rebounded to 3,950-3,980 yuan. The market price was pushed up by higher ferrous scrap cost rather than by rebar makers’ output reductions. It is unclear whether market inventory adjustment has advanced or not.

Taiwanese rebar market price temporarily dropped to 17,700 Taiwan dollars per tonne while recently rebounded to 19,000 Taiwan dollars. Taiwanese rebar makers raised their selling prices by around 500 Taiwan dollars in early August.

Japanese billet export price currently hit FOB US$ 540 per tonne to Vietnam. The export price was around US$ 500 in June and there were few new export contracts recently. Offshore importers are expected to offer higher price to Japanese rebar export due to material cost upsurge. Japanese rebar makers are trying to raise the selling price.