Ferrous scrap purchase price by local electric furnace steel makers around Tokyo increased by 2,500-3,000 yen to 35,500-36,500 yen per tonne for H2 grade, which is 2,500-3,000 yen higher than early June level. Some makers pay as high as 37,000 yen. The price is expected to keep the high level with the level of the export price despite of maintenance outage by local steel makers. Tokyo Steel Manufacturing increased the scrap purchase price on July 3 after a series of hikes since June to compete with export price. Other local makers around Tokyo followed the move to increase the price. Scrap supply apparently decreases from plants and the market around Tokyo. The scrap dealers get smaller amount of scrap arrivals when scrap shipment diverts to export shipping from Tokyo bay. Local dealers source expect the local supply could keep tight despite of maintenance outage by local makers.Ferrous scrap market is also firm around Osaka. Local steel makers try to build inventory before 3-days holiday weekend from July 14 and some makers increase the purchase price. They pay 36,000-37,500 yen per tonne for H2 grade. The scrap supply to Osaka’s makers is expected to decrease when exporters will ship 10,000 tonnes of scrap in the month. A trading firm source said the makers try to keep the inventory during the longer weekend preparing for higher operation in August. Other dealers see the market could calm down in August when export shipping decreases while makers increase the output.
Japan Steel Scrap Composite Prices (Sangyo Press)04/03/2020
|19500YEN (-)||21700YEN (-)|
|178.72US$ (-1)||198.88US$ (-1.12)|
* Average of electric furnaces steel maker's purchasing price in Tokyo, Osaka and Nagoya (per ton)