Japan Billet Export Price Rises Rapidly

Japanese billet export price made by electric furnace steel makers is rising rapidly. The export price surged by US$ 100 per tonne or about 18% from the recent bottom of a few months ago. The price has risen due to ferrous scrap price upsurge. Meanwhile, Taiwanese and Indonesian importers are increasing offers for Japanese billet. International ferrous scrap market price is expected to keep strong. Thus Japanese billet export price is likely to increase more.

The recent export price to Taiwan is C&F US$ 650 per tonne, increasing from US$ 550 in autumn 2010. One steel maker is said to have bided 50,000 tonnes of billet per day. Offshore demand maintains strong for Japanese billet.

On the other hand, South Korean bid price is cheap at around FOB 50,000 yen per tonne. Hyundai Steel and other steel makers is selling billet at below 50,000 yen. South Korean steel makers are aggressively selling billet to Taiwan, Vietnam and Philippine. Some steel makers are concerned South Korean steel makers’ sales may lower billet market price.