Plate steel market price is decreasing to 105,000-110,000 yen per tonne for standard sized product with 19 millimeters thick, 5 feet width and 10 feet length and around 110,000-120,000 yen for cut processed materials around Tokyo. Dealers’ shipment keeps low due to slow demand. Dealers’ reselling price is declining when dealers seem to take a precedence of inventory adjustment.
Dealers’ sales volume decreased by 50% for secondary dealers and users from the same period of last year. The demand of cut processed material decreased by 50-70% compared with last summer from construction and industrial machines. Dealers haven’t accepted the orders for new building plans. Many dealers forecast the demand couldn’t recover in the first half of fiscal 2009. Dealers are reducing and passing over the orders to plate makers. Dealers hold much inventory due to low shipment. It would take time that the market inventory lowers to the level as same as in the first half of fiscal 2008. Dealers’ inventory expanded by 40-50% in the last half year. The market price is likely to decline when the demand drops and some dealers are contesting to sell plate excessively.M | T | W | T | F | S | S |
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Japan Steel Scrap Composite Prices (Sangyo Press)
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