Steel Wire Products Price to Keep firm in Osaka

Market price of carbon steel wire rod processing products including nail and galvanized steel wire keeps the level around Tokyo while the suppliers try to pass higher cost price of wire rod. The price increase power is weak due to slower demand. Godo Steel and Nakayama Steel Works increased the wire rod price by more than 5,000 yen per tonne in June and July. The price increased by total 10,000 yen in the year after the third hike. The market reflects the second price hike by end of August. The market takes some more time to reflect the third hike. Wire drawing makers reduce the supply to the market in order to improve the supply condition. However, the demand decreased in summer time holiday season and the supply is balanced under the slower demand. The processors try to accelerate the price hike process when the wire rod makers seek fourth hike. The market price could keep firm when import price from China increases.