Firm Japan Scrap Market

Japanese scrap export market has mixed forces when Japanese shippers try to increase the export price while offshore buyers resist to higher price. Hyundai Steel’s scrap import tender failed to close the deal on September 6, according to Japanese trading firm source. Hyundai Steel offered FOB US$ 239 per tonne for H2, US$ 265 for HS and US$ 270 for new cutting scrap, which represented US$ 1-2 increase while the value was almost flat in yen base due to lower US dollar value. Japanese scrap shipping price increased around Tokyo and Nagoya after Tokyo Steel Manufacturing increased the scrap purchase price to 30,000 yen per tonne for H2 grade for ocean transport to Okayama plant. With the higher purchase price, scrap shipping price from bay around Tokyo and Nagoya increased to FAS 26,500-27,000 yen for H2. A trading firm source said offshore buyers should pay more than FOB 28,000 yen for H2. Under the condition, Kanto Tetsugen plans monthly export tender on Tuesday and Hyundai Steel plans import tender on Wednesday.