Ferrous scrap market price is weak at around 34,000 yen per tonne for H2 grade at dealers’ purchase price including freight around Tokyo. Local electric furnace steel makers reduced the purchase price by 500-1,000 yen to 38,500-40,000 yen in the month. However, the price could keep the high level when integrated steel makers increase the scrap purchase and scrap supply keeps lower level. The scrap export from Tokyo bay is slow since mid-September. With slower export, local steel makers enjoy better purchase position. The makers reduced the purchase price after output increase during 3-day holiday weekend through October 8. Major Japanese scrap buyer of Hyundai Steel of South Korea reduced the offer price by 500 yen to FOB 39,000 yen per tonne for H2 grade last week at the weekly tender. South Korean steel makers shift to US scrap to avoid high priced Japanese scrap. Kanto Tetsugen’s successful bid also decreased to FAS 37,150 yen at monthly tender last week, which was 778 yen lower than previous month.
Japan Steel Scrap Composite Prices (Sangyo Press)
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