Flat Structural Steel Price in Tokyo

Market price of structural steel is flat at 105,000 yen per tone for carbon steel for machine structural use and at 130,000-135,000 yen for chromium and molybdenum steel in Tokyo. The makers keep the full capacity operations mainly for firm demand from contract users though the tight supply is getting easier than before. The distributors’ inventory has still some stock out sizes thought the increasing supply eases the tight balance. The demand keeps firm for construction machinery and knockdown sets of automobile for export. A source of Japanese steel maker said the firm demand could keep another 3 years. Japanese demand of hot rolled special steel products is 1.691 million tonnes for January-March, which is third high in the record and 2% lower than same period of 2005. The domestic demand is 1.257 million tonnes, which is 2% higher than same period of 2005 and flat from October-December. The output will exceed 20 million tonnes for fiscal 2005 for the first time under the tight supply.