Strong Plate Price in Tokyo

Plate steel market price is strong at around 120,000 yen per tonne for standard sized product with 19 millimeters thick, 5 feet width and 10 feet length and at around 140,000 yen for cut processed materials at dealers’ sites around Tokyo. Dealers are trying to raise selling price due to increased purchase price. Dealers’ shipping keeps slow. Dealers’ sales volume increased by 0.6% to 43,229 tonnes in July from June around Tokyo, according to dealer association around Tokyo, which is low level compared with ordinary levels.

On the other hand, dealers’ inventory is decreased after June, which decreased to 57,683 tonnes by 2.3% in July from June.

The demand for steel plate is strong from shipbuilding, construction machinery, industrial machine or energy industry. The supply and demand is remarkably tight. The supply to dealers keeps low level. Especially, the supply of SN standard products for building material was short for antiseismic reinforcement work of school building. Dealers are anxious about the purchase of plate in near future, which are trying to sell higher price.

Japanese plate makers keeps to sell higher price due to tight supply or higher material and fuel prices. Nippon Steel raised selling price by 10,000 yen per tonne for August contracts. Other makers are expected to raise selling price after September. A dealer source said the firm will increase selling price step by step from now. Some dealers aim to raise reselling price by 5,000-7,000 yen per tonne toward late October.