Electric furnaces steel makers around Tokyo increased the ferrous scrap purchase price by 2,000 yen per tonne in the week. The price is around 66,500-69,500 yen per tonne for H2 grade. The price is lifted under tight supply when exporters and integrated steel makers try to secure the material. The electric furnaces’ purchase price increased by around 27,000 yen per tonne for H2 grade from the beginning of the year under international boom. Yard dealers reported they have trouble to secure scrap from the market even at the higher price level. Scrap export price from Tokyo bay keeps increasing especially for high grade scrap including new cutting and HS grade. Local scrap dealers try to take chance for higher margin by shipping more for export while electric furnaces’ scrap purchase volume decreases under competition with buyers for export and integrated steel makers. Tokyo Steel Manufacturing’s Utsunomiya plant increased the scrap purchase price by 2,000 yen per tonne for all scrap grades on Wednesday. Other makers followed the move to secure the requirement.
Japan Steel Scrap Composite Prices (Sangyo Press)
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