Strong Rebar Price in Tokyo

Concrete reinforcing steel bar price is strong at 110,000 yen per tonne around Tokyo for base sizes directly delivered from the makers to the users. Local dealers’ sales price is 112,000 yen per tonne delivered from their inventories. Local rebar makers aim to raise the selling price to 115,000 yen per tonne. Consequently dealers will more raise reselling price to 120,000 yen directly delivered from the makers.The demand keeps slow. Dealers’ order volume to makers is expected to decrease in June from May, which may fall below 200,000 tonnes per month. Some dealers are concerned the demand would not recover in near future.Makers’ shipping price is surging to 77,000-78,000 yen per tonne. However, makers’ profits are reducing when ferrous scrap price exceeds 70,000 yen per tonne.Makers’ production volume will decrease during July-September compared with April-June due to seasonal output reduction in summer. The demand is decreasing more than makers’ scheduled output reduction.