Ferrous scrap purchasing price is decreasing at electric furnace steel makers around Tokyo. The price is weak at around 25,500-26,000 yen per tonne for H2, which is 27,000 yen at the higher level, when the electric furnace steels started seasonal output reduction and regular maintenance in summer. The electric furnace steels are purchasing ferrous scrap at the volume as same as immediately used. Tokyo Steel Manufacturing, Japanese largest electric furnace steel maker, decreased its purchasing price by 1,500 yen per tonne at Okayama works and by 2,000 yen at Kyusyu works, while the firm keeps the price unchanged at Utsunomiya works since late April. The other makers are cautiously watching the price situation. Each maker would continue seasonal output reduction by September, decreasing the output volume by 10-20% compared with April-June. Consequently makers’ scrap purchase volume is likely to decrease for a while. Ferrous scrap export price around Tokyo Bay is around FAS 26,000 yen per tonne for H2, the indicator for ferrous scrap market price. The export price decreased averagely by 225 yen to FAS 26,055 yen per tonne for H2 for August shipping from the previous month at export tender held by Kanto Tetsugen. Scrap demand is weakening from Taiwan and China impacted by the higher foreign exchange rate of yen.
Japan Steel Scrap Composite Prices (Sangyo Press)
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