H-beam, Rebar Price Declines by 3,000 yen/t in Tokyo

Construction steels market price decreased by 3,000 yen per tonne around Tokyo for the first time in 4 months. The market price is 80,000 yen for H-beam from the dealers’ inventory and 65,000 yen for concrete reinforcing steel bar for direct shipment from makers to users. The demand decreased after May. The market was cooled after Tokyo Steel Manufacturing announced this week the firm reduces H-beam and rebar price for the dealers by 7,000 yen for the shipment in July. The price could decrease more when the demand is expected to keep slow before major construction projects support the demand in later the year.

H-beam price was 22,000 yen per tonne higher than the bottom in February. However, the price turned downward in late May. The demand at the dealers decreased by 30-40% in May-June compared with the level in March-April.

Japanese largest H-beam maker, Nippon Steel has increased the price by 28,000 yen per tonne since February and eyes another price hike while Tokyo Steel Manufacturing reduced the price by 7,000 yen for July shipment. Tokyo Steel’s H-beam spot price is 73,000 yen.

The rebar price was 17,000 yen per tonne higher than the bottom in February. However, some dealers reduced the purchase volume in May when they expected the price decline due to the weak demand. While the rebar makers aimed to increase the selling price to 70,000 yen, the market price stays at low level.