Steel Sheet Market Price Decreases by 3000 y/t in Tokyo

Steel sheet market price dropped by 2,000-3,000 yen per tonne for ho rolled sheet and pickled sheet in this week from last week around Tokyo. Hot rolled sheet market price decreased for the first time in 2 months. The market price had been increased by price hike of integrated steel makers since rising raw material, but dealers’ sales volume decreased rapidly after long holiday in May when the demand for building construction is low level. The supply and demand balance became loose. Because Tokyo Steel reduced selling price, the market price dropped.

Hot rolled sheet price is 67,000-69,000 yen per tonne. Pickled sheet price is 74,000-76,000 yen.

Dealers’ shipping hovers at a low level after long holiday in May. Because Tokyo Steel reduced the selling price of steel sheet for the contract in July and Anshan Iron & Steel decreased export price to Japan, anticipation of a fall was spread in users.

Japanese hot, cold and coated sheet steel inventory increased by 138,000 tonnes to 3.636 million tonnes held by makers, distributors and coil centers for domestic shipment at end of May from April. A dealer source said the supply and demand balance isn’t tight. Pickled sheet is becoming overabundant due to rebound of speculated demand.