Wireworld reported that South Korea Hyundai Steel will lower steel product prices by up to 6.8% from November expecting rising imports of lower priced steel products from China.
The move came after the country second largest steelmaker in late August raised steel prices by up to 6.9% in its first increase in a year to reflect rising global steel and raw material prices. Prices of rebar will fall by 6.5% or KRW 50,000 a tonne to KRW 721,000 and H-beam prices will also fall by 5.5% or KRW 50,000 to KRW 860,000. Prices of hot rolled steel will decline by 6.8% or KRW 50,000 to KRW 690,000 per tonne.
Hyundai Steel said in the statement that "The adjustment can be attributed to falls in steel scrap prices and import prices, adding that rebar was imported at USD 560 per tonne to USD 590 per tonne this month. It is expected there will be rising inflows of lower-price steel imports along with falls in Chinese local steel prices."
Its bigger rival POSCO, the world's No4 steelmaker which made a surprise 20% price reduction in May and has yet to announce a similar move, is selling hot rolled steel at a cheaper KRW 680,000 per tonne.
A POSCO spokeswoman said it had no plans yet to adjust its sales price. POSCO said it would also maintain its November stainless steel prices at this month's levels, expecting domestic demand to pick up slightly up next month for restocking.
