VVF Cable Market Price Levels Off, Osaka

Market price of VVF cable (vinyl insulated vinyl sheathed flat-type cable) levels off around Osaka. The current market price for electrical wholesalers is around 29-30 yen per meter for a 2-core VVF cable with 1.6 millimeters diameter.

Nippon Mining & Metals raised its electrolytic copper selling price, the market indicator, by 20,000 yen to 660,000 yen per tonne on December 4th. Copper ingot price reached the level as high as October 2008. However, current VVF cable price matches with the copper price as low as 560,000 yen or less.

VVF cable makers around Osaka have tried to raise the selling price since November to reflect high material costs for copper and vinyl chloride. A maker source said the selling price for electrical wholesalers should reach 34 yen per meter at recent material costs.

Meanwhile, new housing starts maintain very low in Japan. Demand volume for VVF cables represents 40% lower than the peak level. An electric cable wholesaler said they cannot approve VVF cable makers’ price hike when the market condition is very weak with stagnant demand and some suppliers’ very low offer price.