Nippon Steel & Sumitomo Metal Corp., plans to “accelerate its cost-cutting targets and defer a decision to add capacity with an overseas integrated steel mill” reports Bloomberg.
“A company which doesn’t consider risks and expands excessively could go bankrupt,” said Chief Executive Officer Shoji Muneoka in an interview in Tokyo (Bloomberg), “It costs several hundred billion yen to build a blast furnace. So far it has been right for us not to do that.”
Rising 2.2 percent to close at $235.00 per metric ton, the steel billet 3-month price experienced the biggest change on the LME for Wednesday, October 2. Also on the LME, the steel billet cash price held steady around $209.50 per metric ton.
Chinese steel prices closed flat for the day. The price of iron ore 58% fines from India was range bound. The price of Chinese HRC was essentially unchanged. For the fifth day in a row, the price of Chinese coking coal remained essentially flat.
The US HRC futures contract 3-month price rose 0.8 percent to $635.00 per short ton. The US HRC futures contract spot price inched up 0.8 percent to $635.00 per short ton.