Firm Ferrous Scrap Price in Tokyo

Ferrous scrap market price keeps firm at around 46,500 yen per tonne for H2 grade at dealers’ purchase price including freight around Tokyo. Local electric furnace steel makers pay 54,000-55,500 yen and some makers pay as high as 56,500 yen. The price is expected to keep the high level under tight supply. Local makers increased the scrap purchase price by 4,000-5,000 yen per tonne in a month. Tokyo Steel Manufacturing’s Utsunomiya plant increased the price by 1,000 yen to 56,500 yen for H2 and to 59,000 yen for new cutting scrap without press on Tuesday. The export price from Tokyo bay increases. Hyundai Steel of South Korea increased the offer price to 56,500 yen per tonne for Japanese H2 scrap at tender in end of March, which was 3,000 yen higher than previous tender. Hyundai Steel terminated the tender system and shifted to individual negotiation base transaction. The firm is said to purchase Japanese scrap at 57,000-57,500 yen per tonne. Local electric furnace steel makers try to build scrap inventory preparing for a week long holiday in early May. With the higher demand, local scrap supply is expected to keep tight through April.