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Nippon Steel to set April-June coking coal prices off spot price indexes

Published 12/06/2017, 04:49 pm
Updated 12/06/2017, 04:50 pm
© Reuters.  Nippon Steel to set April-June coking coal prices off spot price indexes
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TOKYO, June 12 (Reuters) - Nippon Steel & Sumitomo Metal Corp 5401.T , Japan's biggest steelmaker, has ended quarterly negotiations with Australian suppliers over coking coal prices for April to June and will set quarterly prices based on spot price indexes, a spokesman said on Monday.

The move suggests the end of the decades-old fixed price settlement mechanism between Japanese steelmakers and global miners and follows recent swings of the prices of the key steel-making ingredient.

Coking coal supply contracts between Australian miners and Japanese steelmakers have been accepted as the benchmark around the world.

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