Reply #15: UPDATE 1-Honda CEO fears more price hikes for U.S. steel [View All]

TOKYO, May 29 (Reuters) - Honda Motor Co's chief executive said on Thursday the Japanese automaker had been asked to pay more by a U.S. steelmaker despite a contract agreed earlier this year, and added he feared other suppliers may follow suit.

Global steel prices have soared on tight demand, with brisk orders for construction machinery, ships and energy-related products in Russia, the Middle East and other emerging markets.

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Most of the steel that Honda uses in Japan comes from domestic makers, with some from South Korea's Posco. Similarly, almost all the steel used for North American production comes from non-Japanese makers such as United States Steel Corp, a spokesman said.

http://www.reuters.com/article/CARMFG/idUST22664220080529