Japanese High Carbon Wire Rod Price Increases by US$ 170 for Apr-Jun

Japanese integrated steel makers concluded the export price negotiation for high carbon steel wire rod to increase the price by around US$ 170 per tonne for the shipment in April-Junes from January-March. The cost of steel raw material is likely to increase higher than what Japanese integrated steels expected in February-March and the price would increase more after July. The steel makers would have to increase the price more.

The demand for high carbon wire rod is strong for steel cord in China and other Asian countries, according to Japanese integrated steel source. The demand starts rebounding from the bottom in USA while the shipment slows in Europe.

Overseas steel makers increase the wire rod price when material cost significantly increases. POSCO would not increase the export when the firm increases the domestic shipment to meet the strong demand in South Korea. On the other hand, European steel makers could increase the export to Asia due to the stagnation in the home demand, according to Japanese integrated steel source.