HR Distribution Market Price Expected to Sharply Rise after March

摘要

Distribution market prices for domestic hot-rolled coils are expected to sharply increase after March. It is mainly because that Hyundai Steel is anticipated to increase the prices on its mini-mill products in the middle of March. POSCO also has a high possibility to raise their HR prices, which will lead to an increase in the distribution market prices for domestic HR, following the recent rise in the prices for Chinese products in the market. Such an expected rise in the prices for HR resulted from a surge in the price for steel scrap. Since the import price for steel scrap used as raw materials for mini-mill products sharply increased to the level of 330 U.S. dollars per to this year from the previous year's level of 200 U.S. dollars, Hyundai Steel has reportedly become difficult to earn normal operating income. The company is most likely to raise the price on its mini-mill products in the middle of March and the price is expected to go up by more than 30,000 won per ton in consideration of a recent increase in steel scrap price.