Weak Plate Price in Tokyo

Plate steel market price is flat with potential decrease at around 127,000-128,000 yen per tonne for standard sized product with 19 millimeter thick, 5 feet width and 10 feet length and at around 148,000-150,000 yen per tonne for cut processed materials around Tokyo. The price is likely to keep weak under uncertainty for demand.

The demand keeps slow especially for condominium and other small- and mid-sized building. A source of shearing processor for building materials said the order receipt is around 20% lower than a year earlier level. The demand started to decrease for machinery after the boom earlier the year.

Tokyo Steel Manufacturing reduces the plate price by 5,000 yen to 86,000 yen per tonne for December contract to encourage the new order. But other electric furnace steel maker and integrated steels maintain the high level price without following the price cut.

The high cost price supports the dealers’ market price. The dealers try to keep the reselling price when the averaged inventory unit price increases with delivery of higher priced products.