South Korea: POSCO raises heavy plate prices by $82/t on sustained cost push

Steel giant POSCO has decided to increase heavy plate prices by KRW 100,000/t ($82/t) for Apr’22 sales.

In Feb and March, the steel major raised heavy plate prices by KRW 30,000/t due to increased cost burden on rising raw material prices. For instance, benchmark Australian iron ore (Fe 62%) fines had jumped to around $150/t CFR China and the price of coking coal from Australia had moved up to $670/t on FOB basis as assessed on 18 March.

With POSCO raising prices, it is expected that the other mills might follow suit.

Hyundai Steel is considering the quantum and the timing of the hike, but market participants anticipate that the steel major is likely to increase prices by a similar margin to that of POSCO.

Dongkuk Steel took a hike of around KRW 20,000-30,000/t ($16-25/t) in Feb and a KRW 40,000/t ($33/t) hike this month. Industry insiders expect an additional hike of around KRW 20,000-30,000/t ($16-25/t) for April.

Note: This article has been published in accordance with an article exchange agreement between SteelDaily and SteelMint.