Osaka Steel announced on Tuesday the firm increases the selling price of equal angle steel, unequal angle steel and channel by 5,000 yen per tonne for distributors for September order. The firm announced 3,000 yen price hike in July. However, the firm keeps the order receipt at low level to balance supply and demand. Osaka Steel explained that the firm must hike product price when the firm cannot absorb the increase of ferrous scrap cost.
A major angle and channel dealer in Tokyo increases the reselling price to pass higher cost price. The dealer offers 73,000 yen per tonne for equal angle effective on August 24, which is around 3,000 yen higher than recent transaction price. The market price is 70,000-71,000 yen per tonne for equal angle, 75,000-76,000 yen per tonne for channel. JFE Bars & Shapes, Osaka Steel increased channel price by 3,000 yen per tonne for August order and Osaka Steel increases by another 5,000 yen per tonne for September order. With the price hikes, the dealers’ profitability is squeezed.Japan Steel Scrap Composite Prices (Sangyo Press)
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