Weak Angle, Channel Steel Price around Tokyo

Section steels market price is decreasing from around 75,000 yen per tonne for equal-angle steel and 80,000 yen for channel steel around Tokyo. The price trend turned downward after Tokyo Steel Manufacturing reduced channel price. Osaka Steel and JFE Bars & Shapes followed the price cut. The price would keep decreasing.

The inventory held by the dealers is flat. However, the order from the buyers decreased more in October compared with September. The dealers reduce the purchase volume to adjust the inventory under slow shipment. The makers’ order receipt is likely to decrease when the dealers expect lower price when local electric furnace steel makers’ ferrous scrap purchase price is 21,500-22,000 yen per tonne.

The makers reduced the channel price wider than price cut for equal-angle steel. With the narrower price gap of angle and channel, some dealers offer channel and angle steel at almost same price while other dealers are still offering 5,000 yen higher price for channel.