On February 25, Japanese steelmaker Sumitomo Metal Industries, Ltd (Sumitomo Metals) announced that it has begun negotiations to revise pricing of seamless pipes for all domestic customers, excluding stainless pipe products. The revision will be an incremental price increase of 15 percent.
Sumitomo Metals said that the revision will apply to all domestic long-term contract and spot customers of the product as of April 2011.
The company associated the decision to increase prices with the rising demand for seamless pipes and also with iron ore, coal and other raw material costs.
Sumitomo Metals is also planning to negotiate similar price increases of gas tubes and other welded steel pipes.