Hot-rolled and Pickling Steel Price Increases by 3,000 yen in Tokyo

Steel sheet market price increased by 3,000 yen to 67,000-69,000 yen for hot rolled and to 74,000-76,000 yen per tonne for pickling around Tokyo this week. Integrated steel makers reduce the supply to spot users while the demand is firm for automobile related and export. Nippon Steel has to reduce the supply due to Oita steel works’ trouble. The users try to purchase the material from the dealers. The price would increase more due to the tight supply.

The dealers try to increase the price by 15,000 yen per tonne while the supply remains tight. The users are reluctant to accept the price hike when the demand slows from construction.

However, some dealers steadily increase the price from March and some agreed with the users that the price increase by 15,000 yen from May. On the other hand, the shipment is at the low level due to the slowdown in demand, according to one dealer source.