Tokyo Steel, a major EAF-based steel producer in Japan, has decided to maintain stable steel prices for July, marking the sixth consecutive month of price stability. The company will hold prices steady, with HRC at JPY 107,000 (USD 682) per ton, pickled and oiled coils at JPY 113,000 (USD 720) per ton, and coated coils at JPY 139,000 (USD 885) per ton. Prices for long steel products such as rebar and H-shaped beams will also remain unchanged, at JPY 98,000 (USD 624) per ton and JPY 127,000 (USD 809) per ton, respectively.
Tokyo Steel explained its decision by citing weak demand in major markets. In the US, the manufacturing industry is sluggish due to a slowdown in personal consumption, while in Europe, consumption remains stagnant despite some employment improvement. In China, domestic demand is weak, leading to a surplus of steel products and declining international prices. High raw material costs are pressuring steel manufacturers’ profits, although the downward trend in steel prices is expected to subside.
Domestically, construction demand is hindered by labor shortages and a lack of construction-related equipment, affecting small and medium-sized projects. However, demand for civil engineering projects and private construction orders is stable, and market conditions are expected to improve as steel demand recovers. For flat steel products, demand in the automobile sector is slow, and production in construction machinery is being reviewed due to decreased overseas demand, Tokyo Steel said.
Amid these conditions, Tokyo Steel will keep all product prices unchanged this month to carefully assess the supply and demand environment, the company said. Additionally, the company announced it has begun selling green steel products at a premium of JPY 6,000 (USD 38) per ton.
1 USD / 156.9 JPY
