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Nippon Steel To Improve Prices Of Flat Products
= The domestic market of flat products seems to bottom out
Nippon Steel has a policy to undertake price improvement in keeping with the domestic and overseas environments in order to realize reproducible prices of steel products recognizing that the market of flat-rolled steel products comes to the timing of rebound.

Seen from monetary relaxation in the USA, China and Japan, the policy makers of main countries are devoting themselves to manage their economy giving consideration to the economic climate, and the stock market also is responding sensitively to such moves.

On the actual economic end, among the industries related to flat products, production of cars is forecasted to maintain continuously the higher level, and energy-saving projects like solar photovoltaics are moving continually. In addition to these, demands related to rehabilitation from the earthquake disaster such as demand on temporary housings for a building constructor in the Northeast area, and so on are expected to increase. And, demands begin to be active toward the start of spring as subsequently, substantial demands on repairing of roofs are expected, the projects related to reconstruction of shops and warehouses begin to move, the fabricators in the Kanto area have a mountain full of fabricated steel for delivery, and so forth.

While, inventories of the three flat products are still maintained at the high level in total but reduction of production by the mills begins to penetrate, and inventories as at the end of January which increase usually decreased. Inventories owned by the distributors are being normalized as a result of devoting themselves to spot purchase, and some distributors are moving to stock building looking ahead to the start of spring as partly devoid sizes begin to be found.

And also, prices of steel scraps are showing the rising tendency in the backgrounds of active export, demand related to restoration and so on, and the electric furnace mills are also necessary to set their prices of steel products in light of cost up factors including the price up of electric power charges.

Seeing the overseas markets, under the situation that costs of fuel and raw materials are staying at the high level, the overseas mills begin to raise their domestic prices in order to correct an excessive price level, and to realize the sustainable prices, and the tendency of bottoming out and rebound is under firming up. To these moves, correction of superstrong yen is added, and prices of imported steel products are expected to bottom out from newly arriving ones.
last modified : Wed 07 Mar, 2012 [09:57]
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