Ferrous Scrap Market Mood Turns to Weak in Tokyo

Ferrous scrap price turned into weak at 18,500 yen per tonne for H2, 20,800 yen for H1 and 22,500 yen for HS at dealers’ purchase price including freight around Tokyo. The dealers expect the price could decrease when electric furnace steel makers start to reduce the production in July due to summer time cutback. The market price still keeps the level when exporters keep shipping for order backlog. Local electric furnace steels pay 26,000-27,000 yen per tonne for H2 to compete with FAS shipping price from Tokyo bay, which has led local market price. Ferrous scrap price is still firm and flat at around 17,000 yen per tonne for H2 around Osaka.