Japanese mills watching BaoSteel pricing of tinplates for Q3

Steel Guru: "Japan's integrated steelmakers have a strong interest in what prices China's Baosteel Company will apply in its domestic sales of tinplate for shipments in the July to September quarter. Baosteel is expected to inform domestic customers within this week of what the company will charge for tinplate as to July to September shipments. For the Japanese steelmakers, it is a matter of attention whether Baosteel will increase tinplate prices or keep them unchanged this time.

Baosteel makes it a rule to serve notice on monthly price terms for most of the various steel products. For an exception, though, the company applies quarterly price terms to tinplate. For April to June shipments, a base price increase of USD 118 is effect for tinplate after flat sales prices for January to March shipments.

In this connection, some Japanese integrated steelmakers have executed a price increase of USD 150 per tonne FOB in their tinplate exports to Southeast Asia for Q2 shipments as if to meet BaoSteel’s domestic price increase of tinplate. Other Japanese steelmakers have settled for a price increase of less than USD 150 per tonne FOB in their tinplate exports to Southeast Asia for Q2 shipments."