Rebar Market Price Surges by 1,000 Yen/t around Tokyo

Rebar market price continued to increase by 1,000 yen to 54,000 yen per tonne around Tokyo compared with last week for direct shipment transaction from makers to users. The price rebounded by 6% or 3,000 yen per tonne from the recent bottom in January 2010.

Rebar dealers are steadily offering the price hike after rebar makers raised the selling price for February-March orders. Rebar makers aim to raise the selling price to 60,000 yen per tonne but the market price is expected to increase slowly since building constructions are unexpected to recover in a short term.

Distributors’ reselling price followed the upsurge by 1,000 yen to around 58,000 yen for the base size from last week. The price rebounded by 4% or 2,000 yen from the bottom in January. It is not easy for distributors to raise the reselling price due to low demand despite of rebar makers’ price hike.