HYSCO to increase rebar price

SteelOrbis Shanghai South Korean Seoul-based steel producer Hyundai Hysco (HYSCO) has announced an increase of Won 30,000/mt ($32/mt) to its rebar prices, effective from March 2, 2007. HYSCO explained that due to increased costs brought on by the price hikes in scrap, due to the upward movement in the price of imported products, and the rise in rebar prices in the global market, they were obliged to increase their rebar prices by Won 30,000/mt ($32/mt). With this upward adjustment, HYSCO's rebar price has increased 8.3 percent for 13 mm diameter material from Won 471,000/mt ($499/mt) to Won 501,000/mt ($531/mt). The imported scrap price increased $52/mt in the past two months to today's level of $319/mt, with the result that the South Korean domestic scrap price rose by Won 39,000/mt ($41/mt) compared to the end of December, 2006. Besides, HYSCO also cited a rise in production costs of Won 10,000/mt ($11/mt) since early February as another reason for their price adjustment. It is thought likely that Dongkuk Steel, YK Steel, Daehan Steel, KISCO and some other mills will also make similar upward adjustments to their prices.