POSCO to cut prices of all steel products

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SEOUL, May 14 (Yonhap) -- POSCO, the world's fourth-largest steelmaker, said
Thursday it would slash prices for all its steel products this week to reflect
falls in the cost of raw materials.
POSCO said it will cut the price of hot-rolled steel by 20 percent to 680,000 won
(US$549) per ton and that for cold-rolled steel by 16 percent to 785,000 won per
ton from Friday.
The company also said it will cut the price for ship plate steel to 820,000 won
per ton from the current 920,000 won.
The steelmaker said the price reductions will cut its annual sales by around 2.7
trillion won.
"The price cuts for our products come earlier than we had planned because steel
prices are falling and raw material prices are also expected to decline," the
company said in a statement.
POSCO had said earlier it would not cut steel prices until its negotiations with
iron ore suppliers were completed.
Last year, POSCO raised prices for its key products, such as hot-rolled steel,
three separate times as global steel prices soared to a record high above $1,000
per ton.
Shares of POSCO were trading at 406,500 won on the Seoul bourse as of 1:12 p.m.,
down 4.35 percent.
sam@yna.co.kr
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