Higher H-Beam Price in Tokyo, Osaka

H-beam market price continues increasing in Tokyo and Osaka when the makers increased the selling price to reflect the higher raw material cost. The dealers push the reselling price under low inventory. The price would increase more due to higher material cost.

The market price increased by around 2,000 yen to 80,000 yen per tonne around Tokyo last week. The price recovered 80,000 yen for the first time in 6 months after 7,000 yen increase from the beginning of January. The dealers increased the offer to 83,000 yen while Nippon Steel announced total 13,000 yen hike in 2 months. The dealers aim higher selling price.

The inventory held by dealers remains at low level around Tokyo while the makers keep the output reduction to adjust supply and demand balance. The tighter supply would support the market price increase.

H-beam market price increased to 75,000 yen per tonne around Osaka last week, which is 10,000 yen higher than the level in recent bottom. The price increased to 75,000 yen for the first time in 6 months while local electric furnace steel makers announced price hike for February. The demand slightly decreased in January. However, the demand decrease is less than expected while the dealers keep the stock at low level.