CSC raises steel prices by 12.6% for deliveries in Q1

28 November 2016

China Steel Corp, the nation’s only integrated steelmaker, yesterday raised steel prices by 12.6 percent for deliveries in the first quarter of next year, due to soaring international steel prices.

“Undersupply problems in the global steel market remain, which has stimulated raw material prices,” CSC president Liu Jih-gang said, attributing the shortage of steel to Beijing’s measures to curb production.

The company’s global rivals, including the US and China, have increased prices in response to rising prices for raw materials, he said.

Steel mills in the US have raised prices for steel plates by US$110 per tonne since the end of last month, CSC said in a statement.

China’s major steelmakers, including Baoshan Iron & Steel Co, raised prices by nearly 450 yuan (US$65) per tonne for hot-rolled items to be delivered next month.

In addition, CSC said its raw material costs in the first quarter of next year would increase by more than US$150 per tonne from the third quarter of this year.

Given the rising costs, the company is to increase prices by NT$2,265 per tonne for shipments due in the first quarter, with a shipment target of 3.27 million tonnes, Liu said.

Among CSC’s major products, the price of hot-rolled items is to increase by NT$2,265 per tonne, while hot-dipped galvanized steel is to go up by NT$1,909 per tonne.

Source – Taipei Times