Tokyo Steel to cut product prices in July for 1st time in 33 mths

TOKYO, June 18 (Reuters) -

* Tokyo Steel Manufacturing Co Ltd, Japan’s top electric-arc furnace steelmaker, will cut all steel product prices in July, its first such cut in 33 months, to reflect slow product flow at home and weaker overseas markets, it said.

* The price cut of 3.8-7.8% from the previous month marks its first price reduction of all of its 15 products since October 2016, according to Nobuaki Nara, general affairs director of Tokyo Steel.

* For July, prices for steel bars, including rebar, will be lowered by 5,000 yen, or 7.8%, to 64,000 yen ($591) a tonne while pickled and oiled sheets will be lowered by 3,000 yen, or 3.8 percent. Its mainstay H-beams will be also cut by 4,000 yen, or 4.7%, to 85,000 yen a tonne.

* Tokyo Steel’s pricing is closely watched by major Asian rivals such as South Korea’s Posco and Hyundai Steel , and China’s Baoshan Iron & Steel Co Ltd (Baosteel) .

* “Slow activities in domestic steel trade due to high inventories and cheaper imports from China and South Korea are weighing local markets,” Tokyo Steel’s Nara told Reuters on Tuesday.

* ($1 = 108.2700 yen) (Reporting by Yuka Obayashi; Editing by Kim Coghill)