Nippon Steel and Toyota reached agreement on more than 30% price increase for automotive steel plates

Before May 16, Toyota Motor Co., Ltd. reached a final agreement with Nippon Steel for a price increase of more than 30% in the price of automotive steel. In addition, Toyota also agreed with Kobe Steel that the price of steel for automotive parts is about 30%. Other automakers will also accept price increases of the same magnitude. It is estimated that the auto industry's burden will reach around 1 trillion yen. For automakers, the rise in steel prices will seriously affect earnings and will also lead to higher car prices.

Nippon Steel and Toyota's plate price negotiations ended with a price increase of 30% or more and an increase of more than 25,000 yen per ton. Including this time, Nippon Steel's automotive steel sheet has risen for two consecutive years. It will hit its highest value in 26 years, exceeding 100,000 yen per ton for the first time.

It is estimated that Nissan Motors, Honda, and other large automakers will also reach an agreement with Nippon Steel with the same increase. Other major steel makers such as JFE Steel will also follow the Nippon Steel price increase. All steel manufacturers will trace prices back to April's supply part.