Japan Wire Processing Makers to Pass Higher Rod Cost

Suzuki Metal Industry announced on Tuesday the firm increases the selling price by more than 16,000 yen per tonne for hard drawn steel wire, by more than 17,000 yen for prestrest concrete steel wire and piano wire and by more than 18,000 yen for valve spring grade oil temper wire for shipment on April 1. Tokyo Rope MFG. announced on the day the firm increases the selling price of steel wire rope by more than 5% for May shipment. They try to pass higher cost price when wire rod makers increase the price by 15,000 yen in April.

Suzuki Metal Industry limits the first price hike in 2 years within cost increase including yield loss under deflation. The firm tries to keep stable supply through the price hike under strong demand in emerging countries and tight wire rod supply. The firm eyes additional price hike when wire rod makers indicate additional price hike depending on raw materials cost.

Suzuki Metal Industry expects special steel wire supply keeps tight due to strong demand in China and Southeast Asia. The firm tries to keep stable supply under the market condition when the users are cautious for higher cost.

Tokyo Rope MFG. also tries to pass higher zinc cost on galvanizing products. The firm also passes higher cost for subsidiary materials including rope oil and synthetics fiber core along with high carbon wire rod. The firm expects the buyers would share the higher cost for raw materials.