Weak Cold Rolled Sheet Market Price around Osaka

Cold rolled steel sheet market price is e slightly decreasing to 78,000-79,000 yen per tonne for size with 1 millimeter of thickness around Osaka. Local dealers’ shipment maintains slow and dealers’ sales stances are weak. Japanese integrated steel makers have recently turned to output reductions and decreased shipment volume to dealers. On the other hand, steel sheet import is increasing to above 80,000 tonnes per month from South Korea and China.

Cold rolled coil arrivals at local coil centers decreased by 4% to 72,400 tonnes in August from July. Product arrivals were likely to increase in September from August due to more business days in September than August and to keep flat in October.

Coil centers’ cold rolled coil inventory decreased by 3% to 99,000 tonnes in August from July around Osaka. The inventory seemed to keep flat in September due to low shipment and to maintain the same level in October. The inventory ratio maintains high level at 1.8-2.0 months against shipment.

The demand is slightly increasing from domestic automobile industry while maintains low from electric appliance and construction fields. Local coil centers’ cold rolled coil shipment decreased by 2.8% to 69,560 tonnes in August from July and was likely to keep flat in September and October.

Tokyo Steel Manufacturing lowered its hot coil price by 5,000 yen per tonne for November sales. Anshang Iron & Steel of China lowered its export price of cold rolled coil to Japan by US$ 15 to US$ 840 per tonne for November rolling. Several dealer sources suggested some of Japanese integrated steel makers are reducing the sales prices.