Strong Rebar Price in Tokyo

Concrete reinforcing steel bar market price is strong at around 70,000 yen per tonne for base size with 19 millimeters diameter around Tokyo. Local electric furnace steel makers increased their rebar selling price by 3,000 yen to 73,000 yen per tonne for October orders. Dealers are trying to raise the reselling price with makers’ strong sales stances. However, building constructions are slow impacted by the revision of Japanese building standard law. New business negotiations are stopped. Rebar makers should pay attention to the supply and demand balance.Ferrous scrap price slightly decreased but is unlikely to largely decline. Rebar makers prospect their productive costs would increase in near future for ferrous scrap, ferro-alloy, sub materials or ocean freights. Makers show strong selling stances then.However, the weak demand caused by the law revision may impact the price hike. The demand outlook is unforeseeable despite of the measures by Ministry of Land, Infrastructure and Transport or other institutions.