H-beam Price Increases in Tokyo

H-beam price is increasing from 79,000-80,000 yen per tonne for base size around Tokyo. The dealers plan to increase the offer from current 80,000 yen when the price is below the cost and Nippon Steel increased the price. The price would continue increasing while the dealers’ inventory remains low.

H-beam inventory held by dealers seemed to decrease at the end of March from February when the dealers reduced the stock before the end of Japanese fiscal year in March. The dealers have some holes to refill in the stock for some items. However, few dealers increase the stock before the price hike when the demand remains low.

Steel makers would keep the production at low level while the makers increased the contract price to around 85,000 yen per tonne. The production increased in February. However, the increase in the production seemed to be due to the firm demand in overseas market. Domestic supply would not increase when the makers target to increase the price.