TEX reported that Japanese integrated steelmakers are prudent in negotiating their export deals of non grain oriented electrical sheets for December shipments to China. Also, they are contemplating watching moves of China's major steelmakers in relation to their domestic sales of non GO electrical sheets.
On their part, the Japanese steelmakers are setting importance on what they negotiate for January to March 2010 shipments rather than December shipments when it comes to Chinese deals of non GO electrical sheets. They are considering seeking flat prices for December shipments if they can. They even assume that they would opt out of their deals for December shipments as in the case of November shipments when China's major steelmakers have executed a domestic price reduction each of non GO electric sheets for December shipments as well.
The Japanese steelmakers offered price increases of USD 50 to USD 100 per tonne when they conducted negotiations on their exports of non-GO electrical sheets to China for November shipments. At the time, the Japanese steelmakers succeeded in achieving part of the price increases on offer. Then, China's major steelmakers Baosteel Co, Anshan Iron & Steel Group Corporation and Wuhan Iron & Steel Group Corporation reduced their sales prices of non GO electrical sheets by CNY 350 to CNY 450 per tonne for November shipments. Local customers reacted and demanded renegotiations for price reductions in their imports of non GO electrical sheets from Japan for November shipments. The Japanese steelmakers, though, rejected the renegotiations and canceled their deals for November shipments.
