POSCO to Lower Stainless Steel Prices for July

SEOUL, June 28 -- South Korea's POSCO <005490.KS>, the world's No.4 steelmaker, said in a statement on Monday that it would lower prices of major stainless steel products by 300,000 won ($246.9) per tonne for July to narrow the price gap with imports.

From next month, POSCO's hot-rolled stainless steel products would be priced to 3.35 million won per tonne from 3.65 million won, and cold-rolled product prices at 3.62 million won from 3.92 million won, an official at the country's top steelmaker said.

POSCO last month lowered prices of major stainless steel products for June release due to weaker nickel prices, after raising the prices for May release for a fourth straight month.

"POSCO expects trades in stainless steel markets to be activated soon as some mills in China and Taiwan have lowered production and consumers do not hold much inventory," the POSCO statement added.

The price of nickel <MNI3>, a key ingredient in stainless steel, on the London Metal Exchange, has weakened about 10 percent since the beginning of this month to below $20,000 per tonne.