Japanese Billet Export Price Rebounds

Japanese export price of billet rebounded due to the inquiry increase from South Korea and Southeast Asia. Additionally, ferrous scrap price is increasing. The billet export price increased by US$ 20-30 to C&F US$ 440-450 per tonne for August shipment to South Korea compared with the recent bottom Concrete reinforcing steel bar export price is flat. However, the export price could increase along with billet’s upward trend.

The billet export price declined to around C&F US$ 420 per tonne for July shipment. After that, the price increased to C&F US$ 440-450 per tonne due to the demand increase in South Korea and in Vietnam. Japanese electric furnace steel makers plan to increase the price by US$ 10-20 from US$ 440-450 per tonne when ferrous scrap price increases.

Concrete reinforcing steel bar export price is around FOB US$ 500 per tonne for July shipment to South Korea. One Japanese electric furnace steel maker source explains the importer in South Korea aims to reduce the purchase price by around US$ 30 per tonne for August shipment. Japanese electric furnace steels aims to increase the price to reflect the surge in ferrous scrap and billet price.

Both rebar and billet export price seemed to bottom out. A Japanese electric furnace steel maker source said low priced offer by Japanese integrated steels and Russian steel makers was swept away. Japanese electric furnace steels plan to increase the product price to reflect the higher ferrous scrap cost. The export price would increase more in response to firm demand in Southeast Asia.