Japan Stainless Scrap Export Drops by 52% in July

Japanese stainless steel scrap export decreased by 52% to 9,420 tonnes in July from June, according to Ministry of Finance. The export was less than 10,000 tonnes for the first time since June 2003 due to oversupply Asian market. Japanese stainless makers reduce the scrap purchase from the market when they reduce the nickel series stainless output under slower domestic demand along with users’ shift to chrome series items. Lower nickel ingot price at London Metal Exchange also reduces the demand due to lower price expectation. The stainless scrap export was slow both for South Korea and China in July. The export to China dropped by 67% to 3,860 tonnes in July from June. The export to South Korea decreased by 38% to 4,320 tonnes though the volume exceeded the export to China for the first time in 3 months.