S. Korean CR mills and Japanese suppliers agree on CR base material price

South Korean cold rolled steel mills and their Japanese steel suppliers have concluded negotiations on the fourth quarter price of cold rolled base material (hot rolled), according to international media sources. The new price stands at $680/mt FOB, down $50/mt quarter on quarter.
 
Due to long-standing divergences between the two parties, they were unable to conclude the fourth quarter price negotiations until now, close to the end of the year. However, the South Korean steelmakers have indicated that the contract price for the fourth quarter is still too high in their view. The current international hot rolled steel price stands at round $600/mt, while the South Koreans state that it is difficult to make a profit at the current export price for CR products. The two sides are expected to start their contract price negotiations for the first quarter soon.