Hannan to Raise Steel Wire Price by 5,000 yen/t

Osaka based steel wire maker of Hannan will increase the selling price by 5,000 yen per tonne for carbon steel wire and by more than 5,000 yen for annealed wire for second half of April shipment. The firm tries to pass higher cost price after the hike by wire rod makers. The main rod supplier of Godo Steel increased the selling price of wire rod by more than 5,000 yen per tonne for April order after hike in January. Godo Steel also reduces the shipment by 20-30% compared with October-December 2006 shipment. Hannan will pass the higher cost price for the shipment in late April though the firm already passed the higher cost for January rod shipment by late March.The firm said the firm is forced to pass the higher cost price for the second round of hike by rod maker though the firm already passed the higher cost price for the first round. The firm said the rod maker keeps the shipment cut for the processors due to higher ferrous scrap price. The firm tries to get higher selling price under the negotiation with buyers despite of lower demand under the slower demand for civil works and competition with imports. Godo Steel and Nakayama Steel Works increase the rod selling price for April and May to pass the higher cost price of ferrous scrap and to improve the selling price, which is lower than other steel items.