Japan Major Steels Get US$120-130/t Tinplate Export Hike

Japanese integrated steel makers concluded the tinplate export price negotiation with most of Asian buyers by early the week to increase by US$ 120-130 per tonne for October-December shipment from July-September. The price apparently exceeded CIF US$ 1,000 and some of the price is more than US$ 1,100, according to the industry sources.

Japanese integrated steel makers offered more than US$ 100 per tonne of hike for October-December shipment from July-September. The buyers resisted the wide hike at early stage but they finally accepted the hike to secure the supply under long term relationship.

Asian tinplate market price recovered recently while the price just hit bottom in July-September despite of the rebound for hot rolled coil and other sheet steel products. The higher tinplate price is supported by firm demand for food can in Southeast Asian countries.

The limited supply also supports the price. POSCO has no reserve capacity to increase black plate supply when the firm increases the sheet supply for new lines in Mexico and Vietnam. Taiwanese tinplate maker’s production trouble also reduces the supply. Baoshan Iron and Steel increased the domestic tinplate price by around US$ 120 per tonne for October-December shipment.