POSCO, CSC steel sheet prices to Japan unchanged for Q1CY'22

POSCO Korea and China Steel Corporation (CSC) of Taiwan have decided to keep their steel sheet prices, delivered to Japan, unchanged in the first quarter of CY'22 (Jan-Mar'22). The loading period will roughly be the same, i.e., Feb-Apr'22.

The international sheet steel market is weak and inventories are rising. Under these circumstances, these two major steel-making companies have decided to roll over sales prices to support the market.

CSC started offerings for hot-rolled coils from last week. Prices for pickling, cold rolled, plating coils and planks remain unchanged. Prices will most likely be deferred for Q2 as well. Sales volume is expected to be about the same as the previous fiscal year, as there will be a tight supply of plates material, owing to the maintenance to be carried out at CSC's No. 1 blast furnace at its Kaohsiung Steel Works, for about three months from Apr'22.

POSCO is planning to renovate the blast furnace at its Gwangyang Steel Works and is aiming to expand its market share in South Korea, so its exports capacity has not increased significantly.

Prices of thin plates

POSCO and CSC raised the cumulative prices of thin plates by more than 60,000 yen from last year to this year's Q3. Currently, the price of hot-rolled coils is maintained at a high of about 120,000 yen. On the other hand, the global market has been muted, and inventories have increased in Japan as well.

Alongwith POSCO and CSC, other domestic manufacturers have also decided to defer their prices, so there is a high possibility that the same sentiments will continue in Jan'22.

~Inputs from Japan Metal Daily