H-beam market price is weak at 65,000-66,000 yen per tonne around Tokyo. Dealers’ sales volume is declining in November and their sales competition continues. Users are requiring price cut to dealers. The market price is expected to remain downward.
Many dealers said H-beam orders are decreasing in November from October. Dealers’ shipment seems to lower by around 5% in November and decline more in December. Dealers are reducing orders to makers. However, dealers’ inventories are surplus against low shipment. Tokyo Steel Manufacturing set its H-beam selling price for dealers unchanged for December contracts while dealers are decreasing the reselling price. Electric furnace steel makers’ scrap purchase price is rising. H-beam makers show a stance to sustain the selling price. However, dealers comply with users’ price cut requirement when dealers ensure the sales volume. The makers forecast dealers’ inventory would slightly increase at ended November from a month ago around Tokyo. The demand for steel frame decreased by 18% to about 130,000 tonnes in August from July around Tokyo. A large dealer source said the demand for steel frame is unexpected to rebound within this year.Japan Steel Scrap Composite Prices (Sangyo Press)
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