Reuters reported that South Korea"s Hyundai Steel would cut steel prices by 11%, its second price cut in a month, due to weakening demand from the construction sector and falling prices of raw materials such as scrap metal.

Hyundai South Korea’s second biggest steel firm after POSCO plans to cut prices of rebar, widely used in construction, by 11% to KRW 821,000 (USD 564.3) per tonne from December 1 and will also cut prices of H beam by 11% to KRW 970,000.

Hyundai in a statement said that "The move is to reflect decreasing steel demand as a result of the global economic crisis, but we see little possibility of further reduction, as the won has weakened (raising raw material import costs) and a series of global economic support measures are being announced.”

Hyundai previously cut steel prices from November 1st 2008 its first price reduction in nearly three years.