Rebar Prices Bounce Back from Loss-Making Levels; Feng Hsing Raises Price by USD 200 per Ton, Halting Two-Week Decline

Feng Hsing (2015-TW), an electric arc furnace steelmaker, announced its weekly pricing today (20th). Although international scrap steel prices saw a slight decline, the company raised rebar prices by NT$200 per ton due to loss-making domestic rebar sales, halting two consecutive weeks of price drops.

Looking at international market trends over the past week, there were no quotations for U.S. heavy scrap and Japanese 2H scrap. U.S. container scrap fell by USD 5 to USD 330 per ton, while Australian iron ore rose from USD 100.75 to USD 101.30 per ton.

Feng Hsing stated that after several weeks of declining scrap and rebar prices, current domestic rebar prices have fallen below production costs, resulting in losses for steel producers. Therefore, despite the slight drop in international scrap prices this week, the company proactively raised rebar prices. Scrap procurement prices were also stabilized, remaining unchanged from the previous week.

Following this week’s price adjustments, Feng Hsing’s scrap procurement price stands at NT$9,200 per ton, rebar at NT$17,800 per ton, and structural steel base price remains flat at NT$25,000 per ton.