Tokyo Steel to raise product prices for June by up to 18%

HYUNDAI STEEL

17/05/2021 09:37

TOKYO, May 17 (Reuters) - Tokyo Steel Manufacturing Co Ltd
 5423.T  said on Monday it is raising prices in June for all of
its steel products by between 9.5% to 17.6%, reflecting surging
overseas prices and an expected pick-up in local demand.
    The June price increases by Japan's top electric-arc furnace
steelmaker, which makes steel products mainly for use in
construction, come after it increased prices of some products in
the past two months.
    Tokyo Steel's pricing is closely watched by Asian rivals
such as South Korea's Posco  005490.KS  and Hyundai Steel 
 004020.KS , and China's Baoshan Iron & Steel Co Ltd (Baosteel)
 600019.SS .
    Overseas prices of steel products have rallied amid tight
supply and robust demand from China, with the most-traded
contracts for construction-grade steel rebar  SRBcv1  and wire
rod  SWRcv1  on the Shanghai Futures Exchange having surged
close to 40% this year.  urn:newsml:reuters.com:*:nL2N2N400I urn:newsml:reuters.com:*:nL1N2MX0CJ
    Prices at home, meanwhile, have underperformed overseas
markets, but demand for construction steel is expected to
recover and higher prices of raw materials will likely force
steelmakers to boost product prices, Tokyo Steel said in a
statement.
    For June, prices for pickled and oiled coils will be
increased by 17.6% to 120,000 yen ($1,097) per tonne, while
prices of U-shaped steel sheet piles will be raised by 9.5% to
115,000 yen a tonne, Tokyo Steel said.
    Prices of its main H-shaped beams will be boosted by 10.8%
to 103,000 yen a tonne.
    ($1 = 109.2300 yen)

 (Reporting by Yuka Obayashi; Editing by Muralikumar
Anantharaman)
 ((Yuka.Obayashi@thomsonreuters.com; +813-6441-1798; Reuters
Messaging:))