Japan Rebar Makers Eye Additional Price Hike

Concrete reinforcing steel bar makers around Osaka eye additional price hike for April shipment. A trading firm source expects the makers cold increase the price by around 5,000 yen per tonne for April when ferrous scrap cost increases by 3,000-4,000 yen in March.

The makers already increased the rebar price by around 5,000 yen per tonne each in February and March while scrap cost increased by around 10,000 yen in the year. The makers’ rebar selling price is around 60,000 yen while the market price around Osaka is 55,000-58,000 yen.

Rebar makers around Tokyo also increased the selling price to 60,000 yen per tonne level while the market price increased by 4,000 yen to 55,000 yen. Some makers eye additional price hike to cover higher scrap cost.

Some dealers expect the makers hold the price for one or two months to wait the market reflects the past price hike. The dealers try to increase the reselling price but the price increase is very slow under demand slump.