Flat Plate Price under Slower Demand

Plate steel market price is flat at around 128,000-129,000 yen per tonne for standard size product with 19 millimeters thick, 5 feet width and 10 feet length and at around 148,000-150,000 yen for cut processed materials at dealers’ sites around Tokyo. The dealers try to keep the selling price despite slower demand when integrated steels increased the selling price by 10,000 yen from October shipment. The price is likely to keep the level with support by pressure by integrated steel makers’ price policy despite of the uncertainty for the demand.

The integrated steels cut shipment by 10-20% for distributors compared with first half year. The lower supply contributes to the balanced dealers’ inventory level. The price of mother plate for cut processing is relative high at around 127,000-128,000 yen per tonne under tight supply when the supply decreases by around 10% from a year earlier level.

The dealers’ order receipt keeps very slow both for standard size transaction and cut processing since August when building activity is low level especially for small- and mid-sized building. The demand also slows down for construction machinery after the boom when the machinery makers cut output for small sized series.