H-beam Dealers Raise Offer by 5,000 yen to 85,000 yen in Tokyo

H-beam dealers increased the offer by 5,000 yen to 85,000 yen per tonne in the week around Tokyo when Tokyo Steel Manufacturing increased the price by 5,000 yen for May order. The market price increase could be accelerated depending on the selling price by Nippon Steel and other integrated steel makers.

H-beam market price increased by around 15,000 yen per tonne in a month when the dealers pass the higher cost price to reselling price after Nippon Steel announced the price hike late March.

Tokyo Steel’s H-beam selling price is 79,000 yen per tonne for the dealers while the integrated steels’ selling price is still higher than Tokyo Steel’s price. The dealers increase the price when the higher cost price impacts directly to the profitability under low level inventory.

The integrated steels indicate H-beam price increases more due to the higher steel making material cost. The integrated steels’ offer increased to around 85,000 yen per tonne for each building projects and the price would increase more.

On the other hand, the market price increase could be limited by very slow demand. The buyers of steel structure fabricators suffer low level order while the steel cost increases.