January 23, 2002 

REBAR PRICE UPTREND
(Price Rise on All Grades)

Prices for rebars have started rising from two weeks ago.  Initially, price increases were announced for structural grade rebars (PNS Grade 230). Towards the latter part of December up to early January, prices for structural grade were ranging from less 23% - less 26% from the May 5, 2000 Price List. However, recently, prices have gone up to less 12% on cash basis and less 14% on 60-day term basis. There is also a lack of supply for size 12mm.

The Intermediate (PNS Grade 275) and High Tensile Grade (PNS Grade 415) have also followed suit with prices up by 4% - 5% from recent lows to less 20%.

The rise in prices were due to the sharp uptick in billet prices from recent lows of USD160/mt to USD175/mt. At the moment manufacturers are hard-pressed to recover their costs and this may translate to still higher prices. Nonetheless, the price rise has been tempered by poor market demand.