Weak Rebar Price in Tokyo

Concrete reinforcing steel bar price is weak at 74,000 yen per tonne for base size with 19 millimeters diameter around Tokyo. Users are urging the price cut to rebar makers. Rebar makers in other regions accepted orders at lower price.

Rebar makers’ award volume seems to increase by 10% in February from January. Users continue to hold off rebar procurement but some users increased the order volume when decline of rebar market price seems slowing. However, rebar makers’ order receipt is decreasing by about 50% from a year earlier, which is expected to keep low level for a while.

Dealers are trying hard to find sale destination with rising credit risk. Some dealers accept the order at cheaper price under severe price competition. On the other hand, some dealers offer higher reselling price despite of credit risk.

Rebar makers around Tokyo set their selling price unchanged for 3 consecutive months. The market price is expected to keep weak tone when ferrous scrap market price is weak, too.