Kobe Steel Hikes Steel Bar, Wire Rod by Up to 35,000 yen/t

Kobe Steel announced on Thursday the firm increases the selling price of carbon and special steel bar and wire rod by 30,000-35,000 yen per tonne effective for April shipment retroactively. The firm tries to improve the profitability through the hike for all buyers including distributors and contract users including automakers and construction machinery makers.

The firm offered 20,000-25,000 yen per tonne of hike in February and indicated additional hike depending on the raw materials price negotiations. The firm also tries to introduce chrome surcharge for certain items and higher extra charge depending on the products.

The firm tries to keep stable supply when the firm plans around 5% higher output for April-September from same period of 2007. The firm meets strong demand with higher output capacity through the expansion of blast furnace and better efficiency for the operations.