Firm Rebar Demand in Tokyo

Demand of concrete reinforcing steel bar shows sign to increase in April-May around Tokyo. An official of local steel bar maker said the shipment recovered for smaller sized products after March. The market price is flat at 58,000 yen per tonne for product with 19 millimeters diameter. The price keeps firm both for base size and smaller size with support by local demand. The rebar inventory for the shipment in Japan is estimated to decrease in March as usual though the inventory rate increased by 3 percentage points in February from January. The supply is likely to get tighter when the inventory rate is expected to decrease to around 55% in April. The makers around Tokyo try to keep the selling price by producing at the demand level. The demand keeps firm. Japanese rebar output increased for 5 consecutive months to February. The output is estimated to keep the high-level in March and April. The higher output is supported by firm demand for condominium construction nationwide. The firm demand could keep supporting the market price.