Plate steel market price is weak at around 105,000-110,000 yen per tonne for standard sized products with 19 millimeters thick, 5 feet width and 10 feet length and around 110,000-120,000 yen for cut processed materials around Tokyo. The price takes a time to hit the bottom. Shearing processors’ order receipt keeps low for building materials. Orders from construction and industrial machines are decreasing by 50% from year earlier, which isn’t expected to recover in a short term.
Dealers’ inventory is increasing by 1.5 times compared with the first half of previous fiscal year (Apr08-Sep08) due to inactive sales. Dealers are adjusting the inventory while their shipment is significantly low. Their selling price is forced to reduce by users. Dealers offer higher reselling price for SM and SN grade but lower the selling price for SS grade and non-standard products. Makers and dealers forecast the demand couldn’t recover during the first half of fiscal 2009 (Apr09-Sep09).Japan Steel Scrap Composite Prices (Sangyo Press)
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