Japan Steels Get Wide Hike for Contract Price

Japanese integrated steel makers are getting higher price from major domestic users. They apparently agreed with the users to increase the automotive sheet and special steel bar and wire rod by more than 25,000 yen per tonne and the shipbuilding plate by around 30,000 yen. The steels increase the price by 20,000-25,000 yen for sheet, by 70,000 yen for grain oriented electrical steel and by more than 25,000 yen for nonoriented electrical steel to appliances, electronic machinery, building and rerollers for April-June shipment. The steels try to increase the sheet price by additional 10,000 yen or more for such users in and after July shipment. The steel makers offered 30,000 yen per tonne of hike to the contract users to cover extremely higher cost for raw materials including coking coal and iron ore when they cannot cover the cost up only by own effort. The users accepted most of the hike when they have to secure the steel products under tight supply stably.