Nippon Steel agreed with domestic tin plate users in price hike by 20,000 yen per tonne for shipment in and after April 2010. This is the firm’s first price hike of tin plate since July 2008. The firm indicates possibility of additional hike in balance with raw material price fluctuations. Can makers would begin price negotiations with can users based on this price up agreement with Nippon Steel. A concerned source said JFE Steel is also concluding price negotiations for tin plate by almost the same hike range.
Iron ore price doubled for April-June compared with fiscal 2009 ended in March 2010 while coking coal price jumped by 55%. Offshore iron ore suppliers are offering additional hike by more than 20% for July-September compared with April-June. As to coking coal, additional hike by 12% has already been concluded for July-September compared with April-June. Nippon Steel had requested tin plate price hike against can makers since April in order to share material cost up. Can makers had initially resisted the hike but turned into approvals when supply and demand balance is tightening along economic growth in emerging countries, mainly in China and Southeast Asia.Japan Steel Scrap Composite Prices (Sangyo Press)
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