Japan: Tokyo Steel to raise Steel Prices in September

Tokyo steel-Japan’s topmost electric arc furnace steelmaker is planning to raise re-bar prices in the month of Sep’17 by 5.4% owing to higher production costs and improved demand of steel from local and global market.

The company has planned to raise the prices of 11 steel products by Yen 2,000-3000/MT(USD 18-28).

Although,Re-bar prices in Tokyo will increase by Yen 3000/MT and are in the range of Yen 59,000/MT (USD 541/MT) which is higher by 5.4% against last month prices.

In context to rise in prices,Kiyoshi Immamura,Managing Director of Tokyo steel quoted,”Overseas steel markets have been strong and thanks to China's solid local demand and a continued decline in exports from China," 

Further he added, strong demand from construction sector for finishing big projects leading to short of inventories in the domestic market and results to  surge  in prices.However increased cost of steel scrap, electrode and higher electricity prices push the rise in prices.

If above factors continued to sustain in the domestic market ,then Tokyo steel may expect another price rise in next month.

Other products like ,U shaped steel sheets will rise by Yen 3000/MT and heard at Yen 90,000/MT (USD 825/MT) however H -shaped beams remain unchanged at Yen 78,000/MT (USD 716/MT) .