Weak Carbon Machine Structural Steel Price in Tokyo

Market price of carbon steel for machine structural use is weak tone at 130,000-135,000 yen per tonne for carbon steel (SC) and at 160,000-165,000 yen for chrome-molybdenum steel (SCM) around Tokyo. Some dealers are reducing the selling price by 5,000 yen per tonne.

Makers are forced to reduce the output largely when the demand for automobile and construction machine is hovering at low level. Japanese dealers’ inventory decreased by 1.4% to 241,092 tonnes in March from February, and decreased for 2 consecutive months, according to Japan special steel dealer association.

Japanese dealers’ sales increased by 8.7% to 58,334 tonnes in March from February, and increased for the first time in 5 months. A major dealer source said some size products are starting to be short due to progressing inventory adjustment.

The supply and demand is becoming tight thanks to makers’ output reduction and dealers’ inventory adjustment.