Japan Rebar, Billet Export Price Rises

Japanese export price of concrete reinforcing steel bar and electric furnace steel billet increases additionally under strong construction demand in Asia. The price increased by US$ 50-60 per tonne or more than 10% for rebar and more than US$ 120 or more than 30% for billet from recent bottom in November 2009. Some of the price is higher than domestic price level. The export price is expected to increase more when ferrous scrap price could increase after Chinese New Year.

Japanese rebar export price is FOB US$ 550 per tonne for February shipment for South Korea while the price decreased to less than US$ 500 end of 2009. The price increased under higher scrap price and foreign exchange rate while South Korean rebar makers increased the domestic price in February.

Japanese billet export price increase is more than rebar. Japanese makers get more than FOB US$ 550 per tonne of bid while the price decreased to less than US$ 400 end of 2009. Japanese electric furnace steel makers eye US$ 530-540 level of export when scrap price could increase more.

Japanese scrap export price is around FOB 30,000 yen per tonne recently. The offshore demand for Japanese scrap is calm recently but the price is expected to increase more supported by firm Asian demand for building and civil works.

Japanese rebar market price is around 52,000 yen per tonne at direct shipment transaction from makers to users around Tokyo. Some of the transaction is less than the export price and the rebar makers make loss in the monthly account. The makers try to increase the selling price to improve the profitability.