Japanese integrated steel makers partially concluded plate price negotiation with South Korean shipbuilders for October 2009-March 2010. Plate price is expected to reach FOB US$ 600-650 per tonne, almost flat or slightly high compared with April-September 2009.
Japanese steel makers offered near US$ 700 at the beginning of the negotiations in July while South Korean shipbuilders requested price cut. They had hard negotiations but seemed to reach agreeable points considering continuous relationship for future. International plate market price is rising. However, international shipbuilding industries’ order receipts keep low. Plate supply and demand balance is easier than in 2008. South Korean shipbuilders’ plate purchase volume is expected to decrease by 30% for October-March from the same period of last year. POSCO, Hyundai Steel and Dongkuk Steel Mill plan to increase plate output after 2010. South Korean shipbuilders seem not to recognize present price upsurge in international market as a big factor for this-time price negotiation.Japan Steel Scrap Composite Prices (Sangyo Press)
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