Japan Wire Rod Makers to Increase Export Price for China

Japanese integrated steel makers aim to raise export price of wire rod for steel code by US$ 50-100 per tonne for October-December shipment from July-September. The export volume is expected to increase to China for October-December from July-September thanks to strong demand from automobiles. Bao Steel, Chinese largest steel maker, will raise common steel wire rod price by 300-400 yuan per tonne for domestic market effective for September shipment. Bao Steel would increase the price more. Japanese wire rod makers plan to raise the export price when the demand is steady and the market price is rising in China.

Japanese wire rod export volume is expected to increase for October-December from July-September after Chinese steel code makers completed inventory adjustment. Japanese integrated steel makers expect for continuous increase of the export thanks to healthy output of passenger cars.

On the other hand, it is unclear when the demand for truckload recovers. Japanese wire rod makers is apprehensive about the recovery of big car in China. Big cars’ tires use high grade steel code.

Japanese wire rod export is expected to increase for USA with actual demand, too. US users also completed inventory adjustment. European wire rod makers are expected to increase wire rod export to Asia because of low demand in Europe.