Weak Plate Steel Price in Tokyo

Plate steel market price is weak at 95,000-100,000 yen per tonne for standard sized products with 19 millimeters thickness, 5 feet width and 10 feet length while around 110,000 yen for cut processed materials around Tokyo. Plate arrivals to dealers’ sites are decreasing by 50-70% from a year earlier. Market inventory reached the level as low as November 2009 thanks to the progress of inventory adjustment. However, the market price keeps weak to reflect stagnant demand

The demand for steel frame is expected to decrease by 40% through fiscal 2009 (Apr09-Mar10) from the previous fiscal year. New condominium building starts were historically low for April-July. Private sectors’ investment dragged out downturn phase but doesn’t go into upswing. It is also unclear how much public works contribute to plate demand. The demand wouldn’t recover from construction and industrial machines for a while, too.