Japanese steelmakers announce additional hike in re-bar prices amid soaring production costs

Japan's electric-arc furnace (EAF) steel manufacturers have announced additional hike in re-bars prices due to soaring ferro alloys prices coupled with rising electricity and fuel costs. Moreover, the high production costs are likely to continue for the time being. Thus, to improve profitability, steel makers have decided to hike prices of re-bars of various grades.

Prices of base grade rebar SD345 were increased by JPY 2,000/t ($14/t), SD295-grade by JPY 5,000/t ($35/t), SD390-grade by JPY 8,000/t ($56/t), SD490-grade by JPY 22,000/t ($153/t) and SD590-grade by JPY 37,000/t ($258/t).

In end-May 2022, Tohoku and Kanto regions-based steel rebar manufacturers had announced price hike for July contracts which was followed by Hokuriku region manufacturers in July. Kyoei Steel and rebar makers of Kansai and Kyushu regions also later revised prices for August contracts.

The price hike revisions will soon be adopted in western regions of Japan too, market participants expect.

Note: This article has been written in accordance with an article exchange agreement between Japan Metal Daily and SteelMint.