Weak H-beam Price around Tokyo

H-beam market price is weak at 64,000-65,000 yen per tonne for 200 by 100 millimeters width at dealers’ sites without freight around Tokyo. Dealers’ order receipt volume maintains low in December. H-beam users continue to require the price cut to dealers. The market price is expected to keep down trend for a while.

H-beam inventory held by Tokiwa-kai members around Tokyo, which is a group of distributors dealing Nippon Steel’s products, increased by 5.3% to 55,453 tonnes at the end of November from October. Arrival volume at distributors’ sites increased by 10.5% to 17,891 tonnes while their shipment decreased by 5.6% to 15,050 tonnes due to low demand from small-middle size building constructions.

H-beam makers’ selling price is almost as same as distributors’ reselling price. Distributors are suffered from loss-making sales. The market price keeps downward and dealers’ losses are expanding.

The market price is dropping in advance around Osaka. Dealers around Tokyo suppose the market price would follow the down trend of Osaka. Order receiving competition is being severer even between makers and distributors.