Weak Rebar Price in Tokyo

Concrete reinforcing steel bar market price is weak around Tokyo. Some dealers said the market price entered bottom zone after Tokyo Steel Manufacturing decreased its rebar selling price by 2,000 yen per tonne. But general contractors continue to hold off the procurement.

Rebar makers’ order receipts increased by about 10% in April from March. The order receipts are expected to reach 200,000 tonnes in April around Tokyo. The makers hold order backlogs almost as much as March though rebar users conclude contracts nearly duly.

Rebar makers will keep the selling price at 60,000 yen per tonne when their purchase price for ferrous scrap exceeded 20,000 yen per tonne. On the other hand, major general contractors continue to require the price cut against rebar makers.Large dealers currently accept rebar orders from general contractors for building contraction plans after June. The demand seems to recover. However, there is a possibility that these construction plans are postponed or cancelled.