Ferrous Scrap Price Drops by 500 yen in Tokyo

Ferrous scrap market price decreased by 500 yen to 34,100 yen per tonne for pressed new cutting scrap and to 33,100 yen for new cutting grade without press at dealers’ purchase price including freight around Tokyo. The price is likely to keep weak due to slower shipping from Tokyo bay. Local electric furnace steel makers pay around 37,500-38,000 yen per tonne for new cutting scrap and some makers pay as high as 39,000 yen. They try to reduce the purchase price since early October when scrap shipping from Tokyo bay is low level and slower construction market in Japan. Lower scrap export price also pressures on the local market. A dealer source said the price could decrease more before it hit the bottom.