Japan: Tokyo Steel rolls over prices of all steel products for Aug’26 sales

• Elevated energy costs, exchange rate volatility prompt cautious pricing stance
• Recent anti-dumping investigations improve domestic demand fundamentals

Tokyo Steel, Japan’s leading electric arc furnace (EAF) steel producer, has rolled over prices of its hot-rolled coil (HRC), rebar, and H-beams for August 2026 sales, reflecting a cautious approach. Latest list prices remain unchanged m-o-m as follows:

• HRC (1.7-22 mm): JPY 100,000/t ($616/t)
• Rebar (D13-25): JPY 93,000/t ($573/t)
• H-beams (100-300 mm): JPY 116,000/t ($715/t)

Factors influencing Tokyo Steel’s price revision

Uncertain market conditions shape pricing strategy: Tokyo Steel attributed its decision to persistent uncertainty stemming from rising global inflation, volatile exchange rates, and elevated energy costs. The company noted that higher shipment prices across the manufacturing sector have lifted overall market prices, prompting it to maintain current selling prices to facilitate future price pass-throughs while supporting market stability.

The company also highlighted that progress in anti-dumping investigations into imported steel has gradually improved the domestic supply-demand balance. In addition, large-scale construction projects are expected to support steel consumption, while growing emphasis on carbon neutrality and the circular economy continues to boost inquiries for EAF steel products.

Kanto H2 scrap tender extends monthly decline: Japan’s July 2026 Kanto H2 scrap export tender settled at JPY 52,508/t ($323/t) FAS for a 15,000-tonne (t) cargo, down JPY 1,998/t ($12/t) m-o-m, marking a second consecutive monthly decline after eleven straight monthly increases.

The sharper correction in US dollar terms reflected the continued depreciation of the Japanese yen, which remained above JPY 162/$, improving the competitiveness of Japanese scrap exports despite lower tender prices.

The cargo was reportedly awarded to a Japanese trading company for shipment to a southern Vietnam-based steelmaker, marking Vietnam’s return to the Kanto tender after a one-month absence. The tender attracted 14 bids totalling 95,400 t, the lowest participation in 18 months. Meanwhile, domestic Kanto H2 prices remained broadly stable at around JPY 54,000/t ($333/t), with mill purchase prices continuing to exceed Tokyo Bay export offers of around JPY 53,000/t ($326/t), reflecting steady domestic procurement.

Global steelmakers adopt mixed HRC pricing strategies: China’s Baosteel increased domestic HRC and hot-dip galvanised iron (HDGI) prices by RMB 50/t ($7/t) m-o-m, supported by higher raw material costs, particularly a sharp rise in metallurgical coke prices.

In contrast, Vietnam’s Hoa Phat Group reduced domestic HRC (SAE1006, non-skin-passed) prices by around $35/t (VND 920,306/t) m-o-m, setting southern Vietnam prices at approximately $549/t (VND 14,435,655/t), excluding VAT. The revision reflected weaker regional market fundamentals and declining imported HRC offer levels across Southeast Asia.

Similarly, Formosa Ha Tinh (FHS) lowered HRC prices by around $40/t (VND 1,051,537/t) m-o-m for August-September 2026 shipments. Following the revision, SAE1006 skin-passed HRC was priced at approximately $545/t (VND 14,309,577/t) Ho Chi Minh City, down from $585/t (VND 15,359,821/t) for July sales, reflecting increasing competitive pressure in the regional flat steel market.