Ferrous Scrap Export Price Increases around Tokyo

Ferrous scrap export price increased averagely by 187 yen to FAS 27,487 yen per tonne for H2 for November shipment from the previous month at export tender held by Kanto Tetsugen on Wednesday. The successful bidders will ship total 15,000 tonnes, when an exporter won the tender at 27,520 yen for 10,000 tonnes and another at 27,420 yen for 5,000 tonnes. Shipping date was set by December 15. The 11 exporters, out of 15 eligible trading houses, submitted 13 bids for the tender. The 9 of 13 bids were more than 27,000 yen per tonne. The total volume of the bids decreased by 1,000 tonnes to 91,000 tonnes at the tender from the previous month.Atsushi Watanabe, chairman of Kanto Tetsugen and president of Maruwa Shoji, said the price was reasonable while below the level of current market price. He analyzed ferrous scrap orders are decreasing from overseas steel makers and Japanese export price might seem relatively high for offshore users. He also commented that ferrous scrap market price might reach the peak around Tokyo at present when the purchasing price by local electric furnace steel makers stopped increasing.